I work at a company where part of my compensation is through Restricted Stock Unit grants. I have worked at this company for almost three years, therefore I had some RSUs vest in the calendar year 2016. My company does an automatic sell-to-cover when RSUs vest, so they sell just enough to cover the tax liability, then I get the remaining shares placed in my ETrade account.
I have heard some rumblings from others in my company that the 1099 form does not import correctly from ETrade to TurboTax, and it makes it seem that the sell-to-cover is actually a straight sell, and employees made money from selling those RSUs, however this is clearly not the case as we don't see any of the money from the sell (as it goes to pay taxes). My question is, how do I ensure that my 1099 form is correct and I am not being penalized from ETrade for the sale of shares of stock that I never saw anything from?
