How do I determine what entry the system needs me to check?--- "Form 1099-B Worksheet (xxx): Cost or Adjusted Basis (Positive Amounts Only) must be entered."

Turbo tax does not allow negative numbers in 1099-B box 1d

 

Some brokers  now reports losses of short options on 1099B as a negative number for proceeds in box 1d and a zero value for cost basis, rather than separate values for cost basis and proceeds that show a loss. 

 

The broker explanation is: "We are now updating our reporting of short options on the 1099-B to reflect how the IRS is now requesting that these transactions be reported.  In this new format, the cost basis and proceeds for short options is consolidated into Box 1d in a net amount."

 

To be able to post a negative value to form 1099-B box 1d follow these steps.

1. Select the option for a 1099-B
2. Select to type it yourself

1. Enter Bank
2. I'll enter one sale at a time

1. Enter the stock data and leave 10d BLANK
2. When you hit Continue you will get a RED error message
3. At the bottom of the screen select Allow me to continue with incomplete information. [Continue]
4. Any less common items will be blank.  Select Done

1. No this is not employee stock

1. Select the last item An adjustment is required for reasons not already covered.
2. Enter the negative number that you had in Box 1d.
3. This will complete the transaction.

From <https://turbotax.response.lithium.com/console/agent/5784093?>

I have the same problem. The current answer does not help as my 1d value is positive. I've tried entering the total cost basis for my 1099-B statement including non-covered securities. However, TurboTax doubles my cost basis, which is not right. What value should I enter? Total covered and non-covered securities cost basis or total IRS reportable cost basis for covered securities. Is this the value that we are to check? Please clarify what is needed. Thank you.

Did you ever get a fix to this problem?

No one from Turbotax responded to this. So, I looked back to my 2019 return. I had a similar problem, which stemmed from Ishares Gold Trust securities. This type of security has a monthly expense that involves selling a fraction of a gold bullion to pay expenses. There is no cost basis in this case. In 2019, the Turbotax expert advised that I list the cost basis as the same value as the proceed value, and refer to the transaction as "short-term non-covered securities". So, the gain is zeroed out. You need to go back to the individual stock line item and edit the cost basis and its description. This should take care of the problem. I hope this helps.

Correct, it is important to reconstruct the individual stock line item and edit the cost basis and its description.  Essentially you need to go through old broker's statements, if you can.  If you can't figure it out, then you really would need to use a basis of $0.  The proceeds would then be taxed as a long term capital gain.  But if the proceed and the cost are the same, it would zero out, as you mentioned.

@shazyalex

 

 

Me too.

The screen takes several minutes to come up, and when it does a small box with a long list of transactions appears.  No indication of which one is the problem.

Please review the following FAQ regarding this concern: How to fix 1009-B negative values.

That is not my problem.  I don't get the message about negative numbers.  I believe it is a missing number.  It is 0 on my 1099 but Turbotax thinks it is blank.  That is, if I have been able to identify the failing transaction.  There is no way for me to know which one it doesn't like.  

 

The screen takes several minutes to come up, and when it does a small box with a long list of transactions appears.  No indication of which one is the problem.

 

 

Here we are, 4 yrs later, SAME problem. No one ever addressed it. 

 

 

It's amusing how they automatically enrolled me in the pricier 'live' version without issue, but the moment I had to start from scratch—since they don’t allow downgrading from their costly live option—this problem suddenly emerged.

It was a big headache for me.  Why we have to review individual transactions.  Ho0w about for people that have hundreds or transactions?

I ended up just entering a zero and it prompted me 5 or 6 times and I entered a 0 for each