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Can someone help me enter information into TurboTax for a 1099-B from a company buyout payout?

Our company was bought out in 2016.  I received a buyout amount, which was reported on a 1099B.  The bank provided the values for 1A, 1C, and 1D.  The message on the form says, "Applicable check box on Form 8949 - X- Cannot determine Box B or E".  Also, Box 2: "Type Gain or Loss undetermined". Box 3: "basis not reported to I.R.S.". Box 5: "This is a non-covered security".  Box 6: "Reported to IRS: Gross Proceeds".  The page in TurboTax does not have enough information for me to decipher what should go where, and the app will not allow me to continue without entering something in 1B and 1E.  Help!

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Employee Tax Expert

Can someone help me enter information into TurboTax for a 1099-B from a company buyout payout?

You'll need to go to your own records to find out when you acquired your shares, and what the shares cost you (cost basis). You don't have all the information on your 1099-B because it is a non-covered security.

 your stock is a "noncovered security," which means that your broker isn't required to report the basis or acquisition date for these shares.

IRS reporting requirements changed in 2011, requiring that brokers report the cost basis  and acquisition dates for corporate stocks purchased after 2010. Before that, brokers didn't have to report this information to the IRS. 

See the answer linked below for ideas on how to calculate your cost basis.

https://ttlc.intuit.com/replies/5361263

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1 Reply
Employee Tax Expert

Can someone help me enter information into TurboTax for a 1099-B from a company buyout payout?

You'll need to go to your own records to find out when you acquired your shares, and what the shares cost you (cost basis). You don't have all the information on your 1099-B because it is a non-covered security.

 your stock is a "noncovered security," which means that your broker isn't required to report the basis or acquisition date for these shares.

IRS reporting requirements changed in 2011, requiring that brokers report the cost basis  and acquisition dates for corporate stocks purchased after 2010. Before that, brokers didn't have to report this information to the IRS. 

See the answer linked below for ideas on how to calculate your cost basis.

https://ttlc.intuit.com/replies/5361263

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