AmyC
Expert Alumni

Investors & landlords

Cost basis is a good place to put the actual basis.

 

You have to remember that the laws changed on how RSU is reported to the employer also. Employees have the option of when the RSU is reported in their income. This makes you more responsible for tracking your basis.  See Employee Compensation, RSU in Tax Cuts and Jobs Act: A comparison for large businesses and international taxpayers.

 

That being said, you need to enter the correct basis. The broker may not have the correct basis. The IRS puts this in the employee's hands to keep up their own basis. 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. This will protect you down the road as proof of your basis in your various investments. As you go through life, rollovers, RSU basis and sales, and more will be captured for you.

 

@r40135ca

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