If I sold stock that I received from rolling over my 401k (distribution was taxed at the time), how do I calculate the capital gains and report it on my taxes?

[Oracle2011]

When I tried to roll over the 401k to my new employer, the cash value rolled to an IRA without tax penalties, but the stock transferred to a brokerage account where it stayed for approximately 2 years. I did pay the taxes on the stock value at that time. I don't seen an option to select for how I received the stock, and would I treat it as I purchased the stock for the price at distribution for the purpose of calculating cost basis? The form 1099-B has boxes 1b, 1e and 2 blank.

[RobertG · Accepted solution]

Yes, you purchased the stock for the price at distribution.

Enter the 1099-B as it is, but be sure to check the following boxes:

The cost basis is incorrect or missing on my 1099-B

I know my cost basis and need to make an adjustment

You will then be able to enter your basis.