Do TurboTax “Rounded” 1099-B input entries need to be manually “corrected” to be consistent with 1099-B reported to IRS?

[Patbbb]

Using T/Tax Deluxe disc for 2020, I'm very disappointed with bugs in the software, which my searches show existed 2 years back. First- imported 1099 data from one of my investor a/c's did not include all info on my printed forms and had to be manually inserted. Second- one transaction included a wash sale with an amount under $0.49 which the program rounded down to 0. But, "Smart Checking" the return would not accept that even when I overrode the figure, as instructed nor let me passed that point to e-file. While waiting on telephone hold for help, I increased the Wash sale amount to $1.00 and the program then proceeded and accepted the return. 

The Help agent could not explain that for me and I hope it doesn't flag the return. Further, all efforts to generate a Five Year Tax History Report (as in past years) were fruitless, despite the Help agent confirming she could see that info in my historical account. The only form I could get was a Two-Year Comparison. Plus, I'm still waiting for the instructions how to get the 5 year history and receipt of the survey to rate the Help Desk.

The above difficulties cost me hours of wasted time to file a relatively simple 1040 return. Accordingly, for 2021 I'll be looking at programs other than Turbotax, which are also less expensive.

[MaxTax00]

You are completely correct Pat.

[mjrengaw]

Anybody know how we get these rounding threads marked as “unsolved” instead of “solved”. They sure don’t seem “solved” to me.

[Stonks]

You could create a new question and it will be unsolved (only the person that created the question can mark it as solved). I did post a question two weeks ago and never marked it as solved since I just get the reply about the rounding being allowed.

https://ttlc.intuit.com/community/taxes/discussion/re-inconsistent-rounding-in-1099-b/01/1949939 

Just to be clear, I'm actually not a day trader and I'm not particularly concerned about the rounding as some people here but I just find it annoying that the rounding is inconsistent. Some numbers are rounded, some aren't, then the totals are computed as if everything was rounded (in each line). I just don't like the inconsistency.

I do understand some day traders might be more concerned about the actual dollar difference after rounding hundreds of transactions though (and you could possibly input the totals and upload the 1099-B but I know some just rather list every transaction, especially if there are adjustments to your cost basis).

In my particular case, I have only about 50 transactions and I think it's just a 2 dollar off from the actual non-rounded number (my transaction pennies were statistically uniform I guess).

[MaxTax00]

The problem I have with TurboTax experts pointing out that the IRS says you "CAN" round is...why would TurboTax software need to round? We are not doing with this pen and paper. The IRS does not require it at the individual transaction level.  We pay for expensive TurboTax Software because we want speed and precision.  Turbotax thanks us by producing returns that have large variances with what the Brokerage sends the IRS on a 1099-B. Rounding each transaction if you have 1,000 transactions is going to give you a more than comfortable variance and raise questions about the quality of imported data because it does not tie out. It was not like this last year.

[gp10237]

Previous quote from "Employee Tax Expert" says from IRS, "If you have to add two or more amounts to figure the amount to enter on a line, include cents when adding the amounts and round off only the total."

That rounding applies to Schedule D, where taxes are calculated. The transactions to support Schedule D are shown on Form 8949. The values Form 8949 should include the cents, and the sums should be rounded as they are transferred to Schedule D.

That is the only way to get the 1099-B values to match the Schedule D values. My brokerage firm does NOT round individual stock transaction values as they are entered into the 1099-B form, and I question if the IRS would allow them to do that.

Please fix the TurboTax software so that the Form 8949 matches the 1099-B forms. They have matched for the past 10 years, and the current year's software is BROKEN.

[MaxTax00]

Same here. My forms perfectly matched for a decade between Broker 1099B and TurboTax produced return. This year they are off.  TurboTax needs to fix this immediately. If you have 1,000 transactions then you can get a variance in the hundreds of dollars and the IRS will not be cool with that. 

[sophieluu1606]

I think we need to make a new thread since these "Tax Experts" seem to not check any threads marked "Solved". Seems like more people are aware of this issue now that 1099-B are available from all brokers. Interested to see how TurboTax handles this.

[mjrengaw]

Open one is here -

https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/turb[product key remo...

[AmyC]

Technical was working on it and I thought it was fixed. 

Another option, type in 4 lines manually. Each line is the total for that type of transaction. 

Enter the totals for each:

• short term covered
• short term non-covered
• long term covered
• long term non-covered

If you decide to enter summary data only,  you are required to send a copy of your 1099B to the IRS. Once you submit your electronic copy, TurboTax prints out a cover letter and instructions on where to send a copy of your 1099B.

[Anonymous]

Thank you for responding. Could you look into this issue and get back to us? The group of "curious customers" is growing...

[rockdoctor]

@AmyC Thank you for this response! That is in fact what I did anyways (Summarize and send in 1099-B) but I have a suggestion for your technical team going forward: Have a user class of day trader who may also trade regulated futures. Have this person test your system.

[AmyC]

That is an excellent suggestion! I will tell my lead but not being on the technical side, I don't know what happens to it.

[mjrengaw]

Please tell your lead that this effects lots more taxpayers than just day traders. I’m not a day trader but have lots of trades and this forced rounding at the transaction level is causing large variances with what my broker reports on 1099-B. All they have to do is change back to the way TT has been working for years up until this year! BTW, I’m using the Windows version of TT not the online version.

[de_prof2003]

I imported my 1099B.  Is there still an "attach PDF" option somewhere, so I can have it sent along with my return?  I am efiling, so does this option refer to efiling as well as mail filing?

Thanks  :  )