I had stock sales (form 1099-B) When they were first acquired, they were RSUs. Several years later, we transferred ownership into our Trust. Did they cease being RSU's?

pdxkelly · ‎February 15, 2026

I'm trying to answer TT's question: Do these sales include any employee stock? I feel like saying yes, but the ownership is in our Trust's name.

ReneV4

Yes. You should answer yes, because when TurboTax asks if the sale includes employee stock, it is asking about the origin of the stock.

It needs to know this for one reason: To prevent you from being double-taxed.

Because it started as an RSU, a portion of its value was already reported as income on your W-2 in the year it vested.

The trust transfer didn't change your "Cost Basis" (the value it had when it vested).

If you say "No," TurboTax won't prompt you to check for that "Adjusted Cost Basis". It will simply take the Form 1099-B at face value, which often shows a $0 basis, making it look like the entire sale is 100% profit.

When you select "Yes, this includes employee stock" and then select "RSU", TurboTax will guide you through a specific interview.

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View solution in original post

ReneV4

Yes. You should answer yes, because when TurboTax asks if the sale includes employee stock, it is asking about the origin of the stock.

It needs to know this for one reason: To prevent you from being double-taxed.

Because it started as an RSU, a portion of its value was already reported as income on your W-2 in the year it vested.

The trust transfer didn't change your "Cost Basis" (the value it had when it vested).

If you say "No," TurboTax won't prompt you to check for that "Adjusted Cost Basis". It will simply take the Form 1099-B at face value, which often shows a $0 basis, making it look like the entire sale is 100% profit.

When you select "Yes, this includes employee stock" and then select "RSU", TurboTax will guide you through a specific interview.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

pdxkelly

Excellent. This confirms what I was thinking and appreciate the confirmation. Thank you very much!🙏🏼

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I had stock sales (form 1099-B) When they were first acquired, they were RSUs. Several years later, we transferred ownership into our Trust. Did they cease being RSU's?