When the company my husband worked for was purchased the new company gave employees 1 stock option. My husband changed companies in 2019 and forgot about the stock option. For tax year 2020 we received a 1099-DIV and a 1099-B. We didn't initiate anything, so I'm assuming the company did. We never received any money. 1099-DIV shows $2.44 in Ordinary and $2.44 Qualified dividends and .58 Federal Income tax withheld and .69 Foreign tax paid 1099-B is a little harder for me to understand. Shows date acquired 7-28-2020, date sold or disposed 12-2-2020. I don't even know where to start. I usually buy Deluxe CD. Do I need a different version to walk me thru this? Any advice to help me understand this and get started in the right direction is appreciated.
angiej3,
While there is no difficulty entering the 1099-DIV and 1099-B info into TurboTax (with the latter just being a simple capital gain/loss), you should also be contacting the prior company. If they are issuing 1099's for monies you have not received, they owe you money and an explanation.
With respect to the stock option, it is not unusual for a company to permit an employee to retain their stock options after they leave the company so long as they aren't going to work for a creditor. That is what my former employer did when I left for academia. How the option got exercised and sold without your apparent knowledge is rather mystifying and another good thing to ask the former company about.