I've read through the forums and various other sites trying to figure out exactly what I need to do to adjust the cost basis on the sale of my RSUs, but I'm really confused on the calculation I'm supposed to do.
What I understand is:
- RSUs are taxed as normal income when they vest
- The 1099-B will report a $0 cost basis
- A supplemental info document should show the adjusted cost basis - but I don't have one of these / not sure if I will get one (via E-Trade)
I think I need to find the FMV (I don't see this particular acronym mentioned on any documents in E-Trade) of the stocks when they vested, and deduct the sale of the stocks from that number to determine the adjusted cost basis - is that correct?
e.g. if the vested FMV was $1000, and I sold them for $900, the adjusted cost basis would be $1000 and my gain would be -$100?
I don't know if any of this is making sense, so I'd appreciate any help to point me in the right direction please! I also am not sure how to find the FMV - would that just be the stock price at the time they vested (so I can check the document in E-Trade for when they vested and take the cost per share and treat that as the FMV)?
Thanks in advance!
Graham
