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Retirement tax questions
Exercising a stock option is not considered earned income. Exercising a stock option results in a capital loss or gain.
You cannot contribute to an traditional or a Roth IRA if you do not have earned income. The only exception is a spousal IRA for a non-working spouse.
You'll probably receive a 2020 Form 1099-B from the broker that handled your option purchase and sale.
‎February 13, 2021
3:01 PM