Summary of what we did now:
The RSU income is already included in the W-2 (Box 1 and Box 16), so we are not manually reporting it again as income.
The federal and state taxes withheld at the time of the RSU sale are not included in the W-2 and should be entered separately in the 1099-B section.
These withheld amounts should be entered as federal and state income tax withheld in the detailed 1099-B entry for the RSU sale, which we did.
We are not entering Medicare tax, Social Security tax, or CASDI (California SDI) manually, as those are already part of payroll and included in the W-2.
My two questions here:
- Is the above correct?
- How do we ensure that the 24% tax we paid on top of it (BUW) is reclaimed? Or will this be done automatically?
