I sold a stock that was a non-taxable spin-off. I had a cost basis given to me. If I sold for less than the cost basis, is this considered a loss on my taxes?

[tom234b]

I received a "non-taxable stock spin off" at Ameritrade which came with a 30.85 cost basis in the spin-off notice. Later sold the spin-off stock at 17.80. Is this a loss (relative to the given cost basis), or a profit since I never paid for anything for it? The original stock lost as much value before and after the spin-off, so overall the net was never a plus.

[MichaelL1 · Accepted solution]

Yes, in the example in the question you have a capital loss on the sale of the stock.  

It is reported as follows:

To enter your Investments sold

Click on Federal Taxes

Click on Wages and Income

Click on I'll choose what I work on

Scroll down to Investments

On Stocks, Bonds, Other, click the start or update button