hi, do i need to select 'The cost basis is incorrect or missing on my 1099-B' check box? I 'm manually entering cost basis for RSU - short-term basis not reported to IRS(noncovered) as it was not 0 on form 1099B but I have cost reported on stock plan transaction supplement.
Yes, enter 0 as the cost basis and click The cost basis is missing or incorrect. The next screen will ask you to adjust the cost basis, if it is reported in the transaction supplement, you can click the I found my adjusted cost basis and enter the cost basis there. This will ensure you are not double-taxed on your vested RSUs. If you did not sell all the shares that vested, make sure you keep that supplemental information in case you need the cost basis again in a later year.
Thank you for you help!
can I just enter cost basis on main screen and not select the check box that cost basis is missing? Or ‘not reported’ basis must be 0 on main screen for this form?
Yes, you can do that if you know the cost basis for the transaction you are reporting but you will still need to check the box stating that the cost basis is missing and also indicate in the sales section that this is either short term or long term uncovered transaction reported to the IRS.