As noted by @Mike9241 we can't see any details, however, my thoughts are as follows:
- As noted in another post, you do not want to duplicate the information in two places which could result in double the gain.
- In my mind, entering the 1099-B info to arrive at a zero gain or loss makes sense if you are entering all the sales information in the K-1 interview process. Doing this will arrive at the correct answer and be reported in the correct area of the tax return.
- In cases such as this, handling the final K-1 current year details and sale matters in the K-1 section is a cleaner process.
- The above assumes you know what your tax basis is in your S corp stock. This is needed regardless of how you enter the information into TT.
- As you noted, the IRS is only receiving the proceeds figure on form 1099-B and that is all they are looking to match in their system. As a result, you do need to reflect this figure on form 8949 which will carry to Schedule D, but will result in a zero gain / loss as noted above. This avoids any matching notice.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
