How do I account for broker's commissions on exercised NQ stock options?

[jmrioux]

I exercised nonqualified stock options, same day sale, and all the income and tax withheld was reported on my W2 as expected.  There was also approximately $1000 in broker commissions, but the net proceeds reported as income on my W2 was not reduced by the broker expenses as I would have expected.  How do I properly account for this since it's a same day sale?  I did not receive a 1099-B either.

[RichardG · Accepted solution]

• Please report the transaction under Federal Taxes>Wages & Income>Investment Income>Stocks Mutual Funds Bonds Other.  
• Select No on the screen Did you Get a 1099-B
  
• Select Nonqualified Stock Option Plan on the next screen
• Identify the employer on the next screen
• Select same-day sale on the next screen
• Enter the sales information on the next screen
• On the next screen, check the box "I paid sales expenses not reported by my broker" and enter the commission in the box that appears.