Hi DK2023
I hope you are having a good day! It's no fun to have worthless stocks, but if those companies have gone bankrupt and the stocks are truly worthless you can report on your tax return for the year they became worthless.
This normally happens when the corporation files for bankruptcy, stops doing business, and has no assets. Financial difficulties won't make a company's stock worthless unless there's no hope that the company will pull through.
You will enter the information as if you did have a Form 1099-B, in the Investment section. Enter a worthless stock like any stock sale but with a sales price of zero and the word worthless in its description. Enter the correct cost or basis, date acquired, and December 31 as the date sold. Be sure to select that you did NOT receive a Form 1099-B.
I hope you find this information helpful!
Connie
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