Retirement tax questions

To report your WFHIT investment you made through IBIT, you will need more than your Form 1099-B.

Search your tax documents for a "Supplemental Tax Information, WHFIT Tax Statement, or Trustee Tax Information" report, which the broker is legally required to provide you to help you determine your cost basis.

Once you have your Form 1099-B and the Supplemental Information, you will also need to indicate that you are changing the basis that is being reported on Form 1099-B.

Here are the steps to follow to report your investment information, as well as how to indicate the change in basis:

The easiest way to input this information is to sort it by summarizing the sales section totals from your Form 1099-B, instead of entering each trade.

To do this, separate the section totals into their respective categories, for example:

• Short-Term Covered: (Box A) Basis was reported to the IRS
• Short-Term Non-Covered: (Box B) Basis was NOT reported to the IRS
• Long-Term Covered: (Box D) Basis was reported to the IRS
• Long-Term Non-Covered: (Box E) Basis was NOT reported to the IRS

You only need to make one entry for each category that has totals. If you have all 4 categories, you make 4 entries. If you only have Long-Term and Short-Term "Covered," you only make 2 entries.

1. Click on Wages & Income
2. Select Add more income
3. Scroll down to Investments and Savings and click down arrow
4. Select Stock, Crypto...(1099-B...)
5. Select Add investments, Add a different way
6. Select Stock, Bonds, Mutual Funds (1099-B)
7. Enter brokerage information, then Continue
8. In the "Tell us about the sales..." section, answer those questions, then Continue
9. In the "Now choose how to enter your sales", select Sales section totals, Continue
10. Note: Use the date provided in the Supplemental Tax Information statement for your WHFIT, if it differs from your original purchase date
11. Note: To adjust the basis, click on the box below the sales section, I need to adjust my total cost basis

If you choose to summarize, you will need to mail in a copy of Form 8453 to the IRS after you e-file so that they have documentation of your summary.