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I had 84 shares of RSUs vested, 35 shares were withheld for tax, 49 shares sold immediately. For both transactions, I am asked total shares vested. Do I put 84 for both?

I am being asked in the Enter Vesting (or Release) Information section for both transactions the total shares vested/released and shares withheld to pay taxes. Not sure if I'm supposed to be putting the same info in both forms, which for me would be 84 vested, and 35 sold for taxes?

I also found it weird that prior to adding the RSU info, I was estimated to get about 3k in returns, but after adding the RSU info, I now owe 1k! The thing is, the RSUs were only worth 12k including the amount withheld for tax. That doesn't make any sense. It's like I'm getting taxed 9k out of the 12k of RSUs? 
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I had 84 shares of RSUs vested, 35 shares were withheld for tax, 49 shares sold immediately. For both transactions, I am asked total shares vested. Do I put 84 for both?

Clearly you are using the RSU step by step interview here, and doing it wrong. (Don't feel badly though, lots of people get tangled up here.)

There's no reason to use the RSU step by step interview unless you don't know your per share basis, (which is the same as the per share "fair market value" the employer used to calculate the compensation created by the vesting of the 84 shares), or if the W-2 income didn't get reported on the W-2.  Neither seem to be the case here so one fix is to delete the trades you've entered and simply enter the trades (I'm assuming you got two 1099-Bs), using the "regular" TurboTax 1099-B entry form.  Enter each 1099-B as it reads but then click on the "I'll enter additional info on my own" blue button.  On the next page enter the correct basis in the "Corrected cost basis" box.  The correct basis is (number of shares sold) x (per share "fair market value" used by employer).

TurboTax will report the sales on Form 8949 "as reported by the broker" but will put an adjustment figure into column (g) of the Form, a code "B" into column (f) of the Form, and the correct amount of gain or loss which includes the adjustment.

If you really want to use the RSU step by step interview, then tell TurboTax about 2 separate vestings: one for 35 shares and the other for 49 shares, putting nothing in either case in the box that asks about shares sold or withheld for taxes.  That should give you the correct answer.

Typically a "same day" sale results in a small loss due to selling commissions and fees, though your actual results could be slightly above or below this amount if the per share selling price is higher or lower than the per share "fair market price".

Tom Young

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2 Replies

I had 84 shares of RSUs vested, 35 shares were withheld for tax, 49 shares sold immediately. For both transactions, I am asked total shares vested. Do I put 84 for both?

Clearly you are using the RSU step by step interview here, and doing it wrong. (Don't feel badly though, lots of people get tangled up here.)

There's no reason to use the RSU step by step interview unless you don't know your per share basis, (which is the same as the per share "fair market value" the employer used to calculate the compensation created by the vesting of the 84 shares), or if the W-2 income didn't get reported on the W-2.  Neither seem to be the case here so one fix is to delete the trades you've entered and simply enter the trades (I'm assuming you got two 1099-Bs), using the "regular" TurboTax 1099-B entry form.  Enter each 1099-B as it reads but then click on the "I'll enter additional info on my own" blue button.  On the next page enter the correct basis in the "Corrected cost basis" box.  The correct basis is (number of shares sold) x (per share "fair market value" used by employer).

TurboTax will report the sales on Form 8949 "as reported by the broker" but will put an adjustment figure into column (g) of the Form, a code "B" into column (f) of the Form, and the correct amount of gain or loss which includes the adjustment.

If you really want to use the RSU step by step interview, then tell TurboTax about 2 separate vestings: one for 35 shares and the other for 49 shares, putting nothing in either case in the box that asks about shares sold or withheld for taxes.  That should give you the correct answer.

Typically a "same day" sale results in a small loss due to selling commissions and fees, though your actual results could be slightly above or below this amount if the per share selling price is higher or lower than the per share "fair market price".

Tom Young

I had 84 shares of RSUs vested, 35 shares were withheld for tax, 49 shares sold immediately. For both transactions, I am asked total shares vested. Do I put 84 for both?

You are a life saver, Tom! Thank you so much!
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