topic Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet in Investors & landlords

Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

o-Josuah-o — Tue, 10 Feb 2026 11:21:15 GMT

After importing from my brokerage account, I have a bunch of "Capital Gain (Loss) Adjustment Worksheet" forms filled out and have run into a problem that I cannot fix.

1. Almost every form has a Part II Manual Adjustments adjustment code of "N" prefilled. I am unable to delete this field and leave it blank.

2. If the partner II code "N" is entered I am required to fill in an adjustment amount. For almost all of the forms, this is $0.00 and I have to manually go through and fill in $0.00 on every form one by one.

3. The Part II Manual Adjustments code "N" is also prefilled even when I needed to fill in Part III Specific Adjustments. But TurboTax reports an error that Part II should not have an adjustment code when I am filling in Part III.

4. The Part II Manual Adjustments code of "N" does not always match the Part I Values for Form 8949 adjustment code. This is a particular problem for wash sale. I cannot really get the correct calculation to occur because Part I Values for Form 8949 has adjustment code NW with non-zero values for the adjustment amount and the gain/loss, and then there is a further Part II Manual Adjustments code of "N" with another non-zero adjustment amount.

While I can go through and manually enter $0.00 for any worksheets that will work that way, I cannot do this to resolve the wash sale and Part III conflicts. In the current state, I am unable to finish and file my taxes.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

chuckk1 — Sun, 18 Feb 2024 23:08:49 GMT

I am having the same issue. All were imported with "N" in the Adjustment code field. From what I can gather, "N" means the below, which is not correct. The 1099 I received was for our Joint account, owned by both of us. We were actual owners of the stock/property. Looking at last year's return, all our stock sales had a blank adjustment code. I also cannot figure out how to delete it.

Adjustment code "N" - You received a Form 1099-B or 1099-S (or substitute statement) as a nominee for the actual owner of the property. Report the transaction on Form 8949 as you would if you were the actual owner, but also enter any resulting gain as a negative adjustment (in parentheses) in column (g) or any resulting loss as a positive adjustment in column (g). As a result of this adjustment, the amount in column (h) should be zero. However, if you received capital gain distributions as a nominee, report them instead, as described under Capital Gain Distributions in the Instructions for Schedule D (Form 1040).

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

momstaxservice — Mon, 19 Feb 2024 16:31:58 GMT

I am having the same issue here! Perhaps this need a fix from Turbo Tax??

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

RachelW33 — Wed, 21 Feb 2024 01:56:38 GMT

We are aware that some of our customers are having an issue with 1099-B's incorrectly importing with adjustment code N instead of adjustment code W.

Please click here to sign up to receive an email notification when this issue has been resolved.

@momstaxservice @chuckk1 @o-Josuah-o

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

o-Josuah-o — Wed, 21 Feb 2024 02:06:44 GMT

@RachelW33 in my case, 1099-B records that are not wash sales are still being imported with adjustment code N, and I cannot remove this code. That appears to be different than the issue you linked to for email notifications.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

RachelW33 — Wed, 21 Feb 2024 02:27:58 GMT

Although your situation doesn't involve wash sales, you should still sign up here to receive an email notification when the adjustment code N has been resolved. Any issues involving imports with adjustment Code N will be resolved within the same update. @o-Josuah-o

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

o-Josuah-o — Tue, 27 Feb 2024 04:50:27 GMT

As an update, this morning at 8:16am Pacific Time I received an email indicating there was an update resolving this issue. I did perform the update. At 6:13pm Pacific Time I received a second email indicating the issue is still being worked on.

I can confirm that the problem still exists, and I still cannot delete the 'N' codes that were inserted for every record.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

vikki222 — Wed, 28 Feb 2024 00:30:43 GMT

I clicked on the link to be notified and I get a page not found error.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

vikki222 — Thu, 29 Feb 2024 00:00:33 GMT

When will the fix for this be implemented?

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

o-Josuah-o — Wed, 06 Mar 2024 23:43:23 GMT

This appears to be resolved for me now, with the latest update. I was able to go through and manually delete the "N" adjustment code and leave blank any dollar amount for that Part II.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

babbo3648 — Wed, 03 Apr 2024 15:48:38 GMT

I am having the same problem now in April. I think TurboTax needs to compensate us for this bug. Do you all agree?

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

babbo3648 — Wed, 03 Apr 2024 15:53:27 GMT

I am able to delete the adjustment code but not the amount so I can't file. I am very frustrated and angry at TT.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

chuckk1 — Fri, 05 Apr 2024 00:04:49 GMT

My issue was resolved because they fixed the Morgan Stanley download. MS had the fix. I had to delete my downloaded files and re-download. N was gone.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

babbo3648 — Fri, 05 Apr 2024 11:56:23 GMT

When did you do this? I downloaded six days ago and incurred the problem. ETrade has been a mess since the Morgan Stanley take over.

Re: Cannot remove adjustment code from Capital Gain (Loss) Adjustments Worksheet

chuckk1 — Fri, 05 Apr 2024 14:11:07 GMT

Over a month ago. I contacted MS/Etrade about the issue and they said give it a week for having it corrected. I assumed they corrected for everyone. I let them know it was a widespread issue. Might give them a call. Good luck