Can I enter a negative amount for proceeds (Box 1d) on my 1099-B?

[PatriciaV]

Thank you for your assistance and patience as we researched a resolution for this experience. Our tech support team is implementing an update that will be released Friday, April 15, 2022.

On or after that date, please start TurboTax (agree to all updates if requested), open your return, and run both Federal and State reviews again. If you are prompted for additional actions, please follow those instructions.

@ankapadi

[nirlay]

Till the update comes, can I report the summary (instead of individual sales) for long term and short term?

[PatriciaV]

@nirlay

Yes, if reporting the transactions in summary format resolves the negative proceeds, then that solution should work so can file your return.

[nirlay]

@PatriciaV Since this issue has been lingering for a couple of years(?), how confident are you that the update on Friday will resolve the negative proceeds issue? Can you please update in this thread when the update has been rolled out?

[nirlay]

@PatriciaV  are you an Intuit employee? How do I know what you are saying is official? Is there any official statement from Intuit? Can intuit make an official statement in the website so that we know that this is not a false promise. It is cutting it too close.

[ankapadi]

After wasting multiple hours on the phone with Turbotax last month I ended up editing the transactions that were affected by this since Turbotax wouldn't fix their software. The tax professionnal's advice was to paper file my tax return, which means I would wait 2 years to get my refund. Ridiculous solution.

This issue arose because over covered calls I wrote and then bought back to close out the position at  a loss.  To circumvent the issue so I could e-file I did the following:

I entered the sale proceeds and $0.00 and entered the cost basis as my loss (but as a positive number) so the end loss was reflected correctly.

IRS accepted my e-file 3 weeks ago and I received my refund.

Shame on turbotax for not fixing this known bug. Good luck to everyone. 

[jman10001]

Robinhood and Webull is showing negative amounts for box1d when I upload for state. What is the issue- today is the due dates.

[GeorgeM777]

While Box 1d on the 1099-B might show the cash proceeds reduced by any commissions or transfer taxes related to the sale of securities, it will not typically show a negative amount.  What is actually on your 1099-B?  If your 1099-B shows a negative amount for Box 1d, the same negative amount will upload into TurboTax.  

@jman10001

[jman10001]

My 1099 b is not negative. There are over 45 entries from Webull and Robinhood showing specific uploads of negative amounts in Box 1d . Please get this fixed…

[GeorgeM777]

It is not clear to us why this is only happening with regard to your state return; however, try deleting your 1099-B and re-loading it.  If that does not resolve the error, you will need to manually remove the minus sign so that the entry is no longer negative.  

Another option is to enter a sales summary instead of individual transactions on Form 8949.  Entering a sales summary may require you to upload your 1099-B into the TurboTax online application so that TurboTax can send your 1099-B to the IRS.  If you need to upload your 1099-B, there is a file size limit of 10 MB.

@jman10001

[jman10001]

If I remove the minus sign to positive , that will increase my state tax obligations which isn’t accurate.

I’ve tried deleting and entering a sales summary, but there is no option of allowing me to report how much of that entry is from out of state gains which drastically impacts the amount I need to pay out for the state portion.

[nirlay]

you should do exactly what ankapadi suggests few posts above, it worked for me. Intuit folks are not going to fix their software.

[jman10001]

Which option did you do?ankapadi gave two possibilities.

[nirlay]

"I entered the sale proceeds and $0.00 and entered the cost basis as my loss (but as a positive number) so the end loss was reflected correctly."

[jman10001]

Ok tysm. I will try this when I get home from work in 7 hours or so..will report back what happens

hopefully it reflects accurately and doesn’t mess up my overall sum amounts.