topic Cost Basis, Deriving Total Cost Basis in Get your taxes done using TurboTax

Cost Basis, Deriving Total Cost Basis

Jonathan1 — Sat, 30 Nov 2024 15:16:05 GMT

In 2024, I liquated, in entirety, a non-retirement (taxable) mutual fund.

For that fund, I have both a "non-covered" dollar cost basis amount and a "covered" dollar cost basis amount.

Is it acceptable to add the non-covered dollar cost basis amount to the covered dollar cost basis amount to derive my total cost basis when reporting my sale?

Re: Cost Basis, Deriving Total Cost Basis

Bsch4477 — Sat, 30 Nov 2024 15:31:24 GMT

You will receive a 1099-B from your broker itemizing your sale. Report the sale as reflected on your form and TurboTax will calculate your proper gain or loss.

Re: Cost Basis, Deriving Total Cost Basis

fanfare — Sat, 30 Nov 2024 19:17:40 GMT

"Is it acceptable to add the non-covered ..."

Yes.

For non-covered securities ( BOX B or E) showing zero (or wrong) basis, enter the correct basis yourself.
Use code "B" and put -0- in col (g).

The correct basis on the sale is the amount you mentioned.

OR you could report non-covered and covered in separate transactions with the same Date Sold.

Either way is OK.

Date Acquired can be "Various".

@Jonathan1

Re: Cost Basis, Deriving Total Cost Basis

fanfare — Sat, 30 Nov 2024 19:25:55 GMT

You may get a separate 1099-B line for the Box E and Box D proceeds

If you acquired any shares in the 12 months prior to sale, those would appear under Box A.

@Jonathan1

Re: Cost Basis, Deriving Total Cost Basis

Jonathan1 — Sat, 30 Nov 2024 20:50:43 GMT

Very helpful. I always like to get an early start in entering data to TT. I will check my numbers again against the 1099 B that I will get in February or March of 2025.