1099-B

[mitchrkkb]

I have received 1099B for short & long term transactions for many years, but this is the first time Turbo Tax gave me a message that I needed to mail my 1099B statements to the IRS along with Form 8453. Why is this? I have not changed my filing process. I have losses of about $10,000 - is this the reason why? It appears Turbo Tax stated "see attached statement" instead of filling out Form 8949 for every transaction. Is this because I summarized the transactions for each fund that was sold

The form states the basis was reported to the IRA.

[Bsch4477]

You can avoid sending documentation if for uncovered transactions you list each sale. You can summarize the covered transactions without causing that problem. 

[Bsch4477]

You can avoid sending documentation if for non covered transactions you list each sale. You can summarize the covered transactions without causing that problem. 

[mitchrkkb]

I confirmed all the transactions are listed as short & long-term covered transactions, but the program is still stating I need to do this. There was a $30 wash sale, but I’m not sure that would cause an issue.

Any thoughts?

[mitchrkkb]

That did not resolve the problem. My next step is to just list every line item separately and see if that resolves the issue or call Turbo Tax for guidance. Generally, I try to avoid sending written documentation to the IRS - not sure if it flags the account although I try to be be squeaky clean.

Thoughts?

[fanfare]

Here's the real scoop:

At tax time, you have the option to summarize your transactions by Sales Category.

IRS requires details to be listed on your own Form 8949,
or on your other forms (e.g. consolidated 1099-B) which have the same information and in the same manner as Form 8949.
Either way, if you choose to summarize, you have to mail the transaction details to the IRS within three business days of IRS accepting your e-Filed tax return.(unless you have attached a PDF of the transactions details to your e-Filed return. TurboTax does not offer this feature).
Exception: if you summarize Category A or Category D, Form 8949 is not needed for transactions without adjustments. No mailing is necessary.

---
As an active investor, be aware that your category Box A sales without adjustments do not require Form 8949, so there is no reason to import or key in those transactions.
Instead use the "enter a summary" option to put your numbers on Schedule D Line 1a.
--
If you have wash sales, it gets more complicated since those adjusted transactions have to be itemized on Form 8949 and the summary totals adjusted accordingly.

Enter the wash sales on Form 8949, then use the subtotal results on the bottom of that form to know how much to subtract. Be sure to NOT check the adjustments box in the summary window.
--
Alternatively, if entry of Wash Sales is too tedious,
summarize and check the box for adjustments and enter the disallowed amount.
This summary will go on Schedule D Line 1b.
You will be making the mail-in election.