AmyC
Expert Alumni

State tax filing

Yes. You are supposed to track your basis in investments. I want to urge you to create a financial notebook that is kept separate from your tax return. Keep it safe and each year, add your year-end statements from all your financial accounts plus a copy of your W2’s, 5498, and any 8606 forms.

Your W2 shows code D in box 12 to track your investment. Also, make note of your employer contributions for the year in the notebook. Then, earnings are simple to determine.

 

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