topic Are capital gains in foreign brokerage accounts treated as income or capital gains for US tax purposes? in Get your taxes done using TurboTax

Are capital gains in foreign brokerage accounts treated as income or capital gains for US tax purposes?

someone191 — Tue, 10 Feb 2026 11:13:42 GMT

I sold some stocks in a foreign country, I made some capital gains. Where and how do I need to report it? Will it be treated as ordinary income or capital gains?
If ordinary income, will I have to pay state tax on it as well?

Re: Are capital gains in foreign brokerage accounts treated as income or capital gains for US tax...

DavidD66 — Tue, 20 Feb 2024 00:13:05 GMT

You will report the foreign capital gains the same way you would capital gains from U.S. accounts. They will be treated as capital gains, not ordinary income. Your gains will be included in your state taxable income, and subject to state income tax. To Enter in TurboTax:

Type "Investment sales" in the search window and click Enter
Click on "Jump to Investment sales"
On the page with "Did you have investment sales in 2023?" Answer Yes
Answer No to "Did you cave crypto income or losses in 2023?"
Skip the import sections and click on Enter another way
On the screen with OK, let's start with one investment type, click on "Stocks, Bonds Mutual Funds"
Answer No to "Did you get a 1099-B..."
Enter the name of the name of your foreign broker
Answer the program questions re employer stock, etc.
Indicate whether you'll report sales one by one or by Sales Section Totals
The interview will walk you through entering the details of the sale

Re: Are capital gains in foreign brokerage accounts treated as income or capital gains for US tax...

nitagro — Mon, 14 Apr 2025 01:12:20 GMT

Although this question was from previous year, I have a followup question along the same line.

If I had a large number of stock transactions in a foreign account, is there a way to import them because entering them one by one will not be practical. the foreign brokerage obviously does not provide 1099, but i believe i can export the transactions as pdf or cvs from the foreign brokerage account.

Re: Are capital gains in foreign brokerage accounts treated as income or capital gains for US tax...

ThomasM125 — Mon, 14 Apr 2025 17:44:02 GMT

There is no way to import the sales into TurboTax. You could enter the sales in summary form, however, by short-term versus long-term sales. If you did that, you would have to mail your tax return in and attach a copy of the investment sales detail.