Sold shares of a stock this yr (non-covered), 500 were inherited, rest came from div re-investments over 20 qtrs. 1099-B shows one sale for 650 shares. How do I report?

[lauriejb_11]

Since there are inherited shares and purchase price of div re-investment shares is different every quarter seems like I'd need to list 21 transactions to make up the 650 shares.

[ThomasM125 · Accepted solution]

You could prepare a worksheet and assign a cost basis to each share you acquired, then add up the total cost of the shares acquired that were more than one year from the sale date and use that as the cost basis for long-term sales and add the cost of the rest for the short term sales, if any. That way you would only need to make two investment sale entries in TurboTax, one for short term and one for long term sales.

[fanfare]

See IRS Pub 550 Chapter 4 for handle reinvested dividends.

Yes the reinvested dividend amounts, from your records, is the cost basis of the shares  sold after the first 500.

the reinvested dividends that were reinvested within  12 months before you sold would have to be separated out and the shares purchased within that 12 month period enumerated.

That's the ST numbers and the remainder is the LT numbers.

[lauriejb_11]

Thank you so much for your help.  100% of the shares fall into longterm.  I was hoping that an option like that was available as I couldn't find a way to get to form 8949 to record all 21 transactions.  The 1099-B they sent is completely useless, the only box filled out is 1A and then there's a note on the bottom with the number of shares sold and the net proceeds.

[fanfare]

@lauriejb_11 

"100% of the shares fall into longterm."

If you are reinvesting dividends, that is unlikely, even if paid yearly not quarterly.

[lauriejb_11]

The shares sold were purchased via dividend reinvestment from 1998 - 2003.