turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Attend our Ask the Experts event about Tax Law Changes & Forms (2024) on Mar 19! >> RSVP NOW!
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

Adjust cost basis on 1099-b deducts brokerage fee?

I purchased a CD in 2024 (let's say for X dollars).

On my 1099-B, it shows the cost basis as X+$20, with an adjusted cost basis of X.

It shows the selling price as X.

 

It seems to me that the $20 higher amount must have included the broker's fee. I should be able to include that in my cost basis, shouldn't I? My cost to purchase the security included the broker's fee. Why would the cost be adjusted downwards to the CD face value?

 

Investopedia has a very peculiar statement:
>> An adjusted cost basis that includes deductions to the value of an asset can be particularly beneficial to investors or business owners when the sale results in a loss.


That seems backwards to me. Our tax burden is more when we have a lower cost basis, right?

 

If I'm right, and want to correct the cost basis to reflect my broker's fee, will TurboTax handle this for me, in the Step-by-Step view? Or will I have to fill out Form 8949 manually?

x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Reply
MarilynG1
Employee Tax Expert

Adjust cost basis on 1099-b deducts brokerage fee?

Yes, when entering your 1099-B check the box to indicate 'my cost basis is missing or incorrect' and you'll be able to enter the correct Cost Basis.

 

Here's more info on Form 1099-B.

 

@bobdrad 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question