topic A start-up issued me stock. This is not a US tax form but a form with the number of shares and their nominal value. Where do I input that in TurboTax? in Investors & landlords

A start-up issued me stock. This is not a US tax form but a form with the number of shares and their nominal value. Where do I input that in TurboTax?

dsotnikov — Sun, 28 Feb 2021 02:11:28 GMT

Re: A start-up issued me stock. This is not a US tax form but a form with the number of shares an...

JohnB5677 — Sun, 28 Feb 2021 16:54:26 GMT

There are potentially two issues here.

Was the stock a form of payment
How the stock will be treated as an investment

The stock was some form of compensation, even though it was just given to you. Even if you did not receive a tax form it should be reported based on the "Nominal Value".

You can enter it this way

Wages & Income
1099 MISC and Other Common Income
Select Income from a 1099-NEC
Enter payer's name
EIN Number
Amount you received
State what it was for
Click None of these apply
No you do not have expenses to enter

There will not be any tax on the shares of stock until they are sold. You may however, receive dividends or interest that would be taxable in the year received.

Re: A start-up issued me stock. This is not a US tax form but a form with the number of shares an...

dsotnikov — Sun, 28 Feb 2021 22:36:41 GMT

Thanks, John!

So just to be clear:

* I use this form even though the stock comes from my employer? Asking because the Box 1 screen says "Nonemployee compensation".

* The amount I enter in Box 1 is what I get by multiplying the number of shares to the nominal value? E.g. if I get a 1,000 shares at $0.1 - I just enter there $100?

* On the Describe the reason screen, do I enter something along the lines of "Equity grant from employer: 1,000 shares with nominal value of $0.1 each"?

Re: A start-up issued me stock. This is not a US tax form but a form with the number of shares an...

WendyN2 — Mon, 01 Mar 2021 22:14:30 GMT

Yes, the steps you have laid out for yourself are exactly what you will want to do after following John's terrific advice. You are on the right track!