In order to get the correct gain/loss to calculate, you need to input the "Gross Proceeds" amount in the "Net Proceeds" prompt. After doing so, you are prompted for your cost basis. This is subtracted from the Gross proceeds amount entered and the gain/loss is displayed and can be verified. However, once performing the Federal Review, you are made to review the Capital Gain (Loss) Transaction Worksheet which states "Part III, line 5c of $xxxx.xx should not be greater than the gross sales price of $xxxx.xx." Here is where the system has incorrectly input the "gain/loss" into Item 5a, "Gross Sales Price."
For example, if Gross proceeds from Sale were $500 and cost basis was $200, the gain would be $300. The system is then forcing that $300 gain in Item 5a on the worksheet, claiming it is the "Gross Sales Price." It then forces the $500 Gross Proceeds amount into Item 5c "Net Sales Price" and says that $500 Net Sales Price should not be greater than the Gross Sales Price of $300.
There is an error in how this transaction has been carried to the worksheet. All info has been input correctly to calculate the correct gain/loss. I have no ability to fix on my end. Please let me know how you will remedy.
Thank you.
According to a TurboTax FAQ, the team is aware of this issue and is working on a permanent solution.
For now, as a workaround, you could temporarily remove the sale, go through the review again (it should pass), then re-add the sale. The software glitch should go away and the review should continue to pass as it did for me.