After entering totals for 1099-B instead of individual rows, where is TurboTax's attached statement, and where is the form I have to mail?

[pher]

I have a 1099-B containing over 50 rows of RSU sales, so entering them into TurboTax one at a time would be extremely time-consuming. Since I don't have any wash sales or tax withholdings that would result in a "missing cost basis," I went ahead and entered the proceeds total and cost-basis totals instead.

I know per the IRS instructions for Form 8949 Part I, Exception 2 allows reporting the transactions on a separate attached statement. That seems to be what TurboTax tries to do when I chose to enter totals instead; when I preview my tax returns, I see it entered into Form 8949 line 1 "CHARLES SCHWAB & CO., INC. - see attached statement". But when I look for the attached statement in my previewed return, I can't find it anywhere. What title does the attachment have or what should I be looking for? I even tried to Ctrl+F for "attachment" or "statement" or "Schwab" and couldn't find any attached statement. I'm concerned TurboTax won't be correctly providing this.

As a second question: I do also see from slightly lower on the same IRS page slightly, the E-file section says, "If you e-file your return but choose not to report each transaction on a separate row on the electronic return, you must attach Form 8949 to Form 8453 (or the appropriate form in the Form 8453 series) and mail the forms to the IRS." But on TurboTax's cover pages on my tax return ("Electronic Filing Instructions for your 2024 Federal Tax Return"), I don't see any instruction from TurboTax that I'm supposed to mail something in addition to my e-file. Does TurboTax end up mailing the form on my behalf, or do I actually need to take action? Or am I misinterpreting and I don't actually have to mail anything?

- Note: I recognize that if "Exception 1" was applicable, the IRS says there's no need to mail anything: "However, this doesn't apply to transactions that qualify for Exception 1". But my RSU sales don't qualify for Exception 1 because that requires the broker to have reported basis to the IRS, and my 1099-B says basis was not reported.

[rjs]

TurboTax does not provide the statement. The statement that you have to send to the IRS is a copy of your 1099-B showing the details of the individual sales.

TurboTax will not tell you that you have to mail the statement until you go through the final filing section. That's because you don't have to mail anything separately unless you are e-filing your tax return. TurboTax doesn't know whether you are e-filing or filing by mail until you actually start the filing process. After you select e-filing, TurboTax will create Form 8453 and tell you that you have to mail the statement. If you file by mail, Form 8453 is not used. You just attach the statement to your mailed tax return.

[pher]

Thanks @rjs -- So my confusion is actually that TurboTax seems to be behaving differently than you mentioned.

After entering the total proceeds and total cost basis and clicking "Continue," TurboTax brings up this page:

As you can see, I previously uploaded a PDF. It specifically says, "If you have a PDF copy, upload it and we'll send it to the IRS for you. If you don't have a PDF copy, you can skip upload and we'll help you mail a paper copy."

Then, before making my post, I already clicked "I want to e-file" and then clicked "View Returns" to preview my generated tax returns. This is where I'm saying I don't see my uploaded 1099-B attached anywhere in that tax return. I guess I expected it to be there.

Maybe it's this instead: When TurboTax says "we'll send it to the IRS for you," does that mean they'll actually mail it separately, and will NOT include it within the e-filed tax return and that's why I don't see it there?

[rjs]

I was thinking of the desktop TurboTax software. Yes, TurboTax Online lets you upload the statement. I don't know exactly how they send it to the IRS (but I'm sure they don't mail it). It would be included in the e-file that TurboTax transmits to the IRS, but apparently it does not get included in your PDF of the tax return.

[pher]

Thanks! To the extent a TurboTax employee (which I understand to be the "Expert" tag) sees this post, I would appreciate confirmation of what exactly TurboTax does and whether it's expected behavior to not include my 1099-B attachment in the PDF of the previewed tax return, so I can comfortably file using this method.

[SusanY1 · Accepted solution]

Yes, it is epected behavior for your uploaded PDF to not be "attached" in the PDF copy of your tax return that is provided for your records. 

The attachment that you upload into TurboTax online is transmitted electronically with your tax return according to the format required by the IRS.  It isn't added to your TurboTax copy of your return since it is a separate document that you provided and already have in your records.  

You can proceed with filing your return and be assured that the uploaded PDF is transmitted to the IRS. 

[fanfare]

It's really weird that TurboTax Online will attach a detail record for E-File , but TurboTax desktop will not.