topic What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean? in Investors & landlords

What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

benilssen — Wed, 03 Mar 2021 03:44:31 GMT

1099-B Worksheet from Morgan Stanley Domestic

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

KrisD15 — Wed, 03 Mar 2021 04:16:56 GMT

The 1099-B should list the basis.

Cost or adjusted Basis means what your beginning value was.

If you purchased the stock, it would be what you paid for it (COST)

If you inherited it, it would be the value of the stock on the day you inherited it.

There are times when the broker doesn't have records of that, in which case you would need to provide that information.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

benilssen — Wed, 03 Mar 2021 18:58:28 GMT

Hi Kris. Thank you for your reply. I talked to my financial advisers and they didn't understand either. What stock should the amount be reflecting? Is it a general number reflecting all stocks bought 2020?

Thanks,

Bente

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

RayW7 — Wed, 03 Mar 2021 20:13:58 GMT

The original cost basis is the purchase price you paid for an investment, plus commissions and any fees. In most cases it's simply the total amount you paid for the investment.

The adjusted cost basis is the original acquisition cost plus any adjustments due to the following:

• Stock plan and ESPP transactions

• Corporate actions

• Wash sales

• Amortizations and accretions

• Standardized options

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

benilssen — Fri, 05 Mar 2021 16:15:14 GMT

Hi, so I still do not know what amount to enter.

Is it beginning value of each stock (total value of all stocks bought) bought in 2020 ?

Thanks,

Bente

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

JohnB5677 — Sun, 07 Mar 2021 15:15:40 GMT

You will have to have a value for each individual stock.

You will first determine the price per share on the day you purchased it.
You would then multiply by the number of shares that you sold.
This will result in the cost basis for that block of stock.

If you are having trouble determining the original value per share you may be able to use Historical Stock Quote Prices - MarketWatch to determine the original value.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

benilssen — Wed, 10 Mar 2021 04:39:19 GMT

Hi, I screen shot the information in the box and sent it to my financial adviser. They do not recognize the numbers so something must have gone wrong when the information was uploaded from my Morgan Stanley account. Is it possible to re-enter all the information? How is this done?

I didn't have any of this problem last year.

Thanks

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

JohnB5677 — Wed, 10 Mar 2021 13:59:27 GMT

You can quickly enter this manually. Your brokerage statements should include a summary of your transactions, grouped by sales category.

There are seven possible "Box" designations that indicate the holding period (Long/Short Term) and the reporting status. These are the only ones you have to summarize. If you want to manually enter your 1099-B as the summaries.

Tell us about your 1099-B sales for this BOA account
1. Answer the questions
Since you have more than a few BOA sales, we recommend entering sales section totals
1. Continue
Before entering sales section totals, take a moment to find them on your 1099-B
1. Continue
Now, we'll enter one sales section total on your BOA 1099-B
1. Use the drop down menu to select the correct designation.

Code A. This code indicates a short-term transaction for which the cost or other basis is being reported to the IRS. Use this code to report a transaction that the recipient will report on Schedule D (Form 1040), line 1a, or on Form 8949 with box A checked with totals being carried to Schedule D (Form 1040), line 1b.

Code B. This code indicates a short-term transaction for which the cost or other basis is not being reported to the IRS. Use this code to report a transaction that the recipient will report on Form 8949 with box B checked with totals being carried to Schedule D (Form 1040), line 2.

Box C. Report on a Part I with box C checked all short-term transactions for which you can't check box A or B because you didn't receive a Form 1099-B (or substitute statement).

Code D. This code indicates a long-term transaction for which the cost or other basis is being reported to the IRS. Use this code to report a transaction that the recipient will report on Schedule D (Form 1040), line 8a, or on Form 8949 with box D checked with totals being carried to Schedule D (Form 1040), line 8b.

Code E. This code indicates a long-term transaction for which the cost or other basis is not being reported to the IRS. Use this code to report a transaction that the recipient will report on Form 8949 with box E checked, with totals being carried to Schedule D (Form 1040), line 9.

Box F. Report on a Part II with box F checked all long-term transactions for which you can't check box D or E because you didn't receive a Form 1099-B (or substitute statement).

Code X. Use this code to report a transaction if you cannot determine whether the recipient should check box B or box E on Form 8949 because the holding period is unknown.

Open or continue your return (if it's not already open) and search inside TurboTax for the phrase stock sales.

Select the Jump to link in the search results.
Answer Yes to both Did you sell stocks, mutual funds, bonds, or other investments? and Did or will you receive a 1099-B form or brokerage statement for these sales?
- If you land on Here are all your 1099-B sales, select Add sales from a different brokerage. Then answer Yes to Did or will you receive a 1099-B form or brokerage statement for these sales?
When asked how you want to enter your 1099-B, select I'll type it in myself.
Select or enter your brokerage on the next screen and continue.
On the following screen (Tell us about...), answer the questions until you reach the next screen. Select the second option, Let's enter a summary instead, and select Continue.
You'll now be able to enter the total proceeds (sales) and cost basis, along with the sales category. Refer to your 1099-B for the amounts and category. When finished, select Continue.

When you are done, you'll eventually come to the Here's a summary of your broker sales screen where you can edit, delete, or enter more sales.

You will have to mail a copy of your 1099-B to the IRS. TurboTax will produce a Form 8453. You print the Form 8453 and attach the brokerage statement(s) to it.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

benilssen — Wed, 10 Mar 2021 16:07:36 GMT

Hey, I use Turbotax to have a peace of mind.

This is not helping me.

My question: Can I re-enter the data so the numbers get right?

Why is everything so complicated this year?

Thanks

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

cburnside — Sun, 16 May 2021 23:18:29 GMT

Where can I find the "Cost or Adjusted Basis" on the brokerage company report? I have no idea where or how I'm supposed to have that information OR where I am supposed to enter it if/when I do get it!

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

AmyC — Mon, 17 May 2021 02:13:45 GMT

The brokerage statement may not have all the information. If you earned/ bought stock through work, you may have had income in your w2. Add the corresponding income from those shares to your basis plus any sales expenses if the broker did not.

Note, the w2 for whatever year(s) was appropriate. You will want to check your records.

I want to urge you to create a financial notebook that is kept separate from your tax return- if you don't already. Keep it safe and each year, add your year-end statements from all your financial accounts plus a copy of your W2’s, your carryover information, and proof of your basis in your various investments. You must keep tax records from the time you purchase until sold/ loss used plus 3 years. It is very easy to lose track of disallowed losses / carryforwards/basis.

@@cburnside

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

Jonotopia — Mon, 17 May 2021 19:43:20 GMT

Perhaps the reason nobody is saying thanks or selecting a solution is because everyone is simply giving up. But to clarify the issue, when the cost or adjusted basis is required, turbotax doesn't bother to specify FOR WHAT. Just a blank form, sits there blank until the app/web page times out. Tried it in multiple browsers and the android app, the dumb thing never loads the form, and there is no indication whatsoever of which security requires the information. Google searches show similar complaints back to2019, and nothing has been done to fix it? The only fix is to enter summary information and file by mail? Why even have a broker import function at all?

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

mordyvt — Mon, 04 Oct 2021 01:31:01 GMT

Same here - I don't think I'll be doing this again next year.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

mordyvt — Mon, 04 Oct 2021 01:32:55 GMT

Exactly - " turbotax doesn't bother to specify FOR WHAT. "

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

itsmerowe — Wed, 26 Jan 2022 16:36:46 GMT

Yeah I am stuck on this same page with Coinbase. I have uploaded the CSV several times but this always needs review. No idea what to put.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

FangxiaL — Wed, 26 Jan 2022 23:59:48 GMT

Cost or adjusted basis is the dollar amount you paid for the piece of the cryptocurrency. If that information is missing, TurboTax will ask you to review and enter the information. Otherwise, the capital gain will be inflated.

Here is a help article on how to upload a CSV file of crypto transactions.

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

RGR3 — Fri, 04 Mar 2022 17:29:38 GMT

I have the same issue here this a cryptocurrency, my broker send me a 1099-B, I have several charges of a x.xx amount less than 5.00 each and then it shows a COST BASIS FACTOR: 0. then 9 decimal amounts, is this the number we need to input? on each transaction?

The charges are not sales or purchases they are charges issue to manage the cryptocurrency (No wonder those who have a Bitcoin Mining are making a killing, a few dollar and cents almost every week adds up) so they are charges I am correct here?

Anyone has any idea what to enter in the worksheet is that decimal number I need to input? I basically one charge per week.

Anyone any idea?

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

KrisD15 — Fri, 04 Mar 2022 17:42:51 GMT

If you can enter a summary, you can add the small amounts of fees and add a yearly total.

If you are able to get a summary, or summarize them yourself, you can enter as "Stocks Bonds, Mutual Funds"

(Long Term ((MORE THAN ONE YEAR)) Short Term ((ONE YEAR OR LESS)) Gain/Loss) (Date of Purchase- various)

If you are e-filing, paper-mail Form 8453 with the statement or 1099-B you have showing the transactions, within 3 days of an acknowledgement of the acceptance of your e-filed Federal Return.

Check the box on Form 8453 for Form 8949 (the last option)

Mail Form 8453 to:

Internal Revenue Service

Attn: Shipping and Receiving, 0254

Receipt and Control Branch

Austin, TX 73344-0254

(If you are mailing in a paper 1040, include the statement only with the paper return)

Be sure to separate any earned income (Mining, Air Drops) from trades. Enter any "Earned Income" on your Schedule C.

TurboTax (Online) does have a separate section for reporting Virtual Currency trades, but that is just a convenience for the customer. It all goes to Capital Gains/Loss.

DESKTOP:

Personal

Personal Income

I'll choose what I work on

Scroll down to "Investment Income"

"Stocks, Mutual Funds, Bonds, Other" START

Did you get 1099-B?" NO

Select "I'll enter a summary for each sales category"

If you have both Short Term and Long Term, you will need to enter each on a separate screen.

FORM 8453

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

RGR3 — Fri, 04 Mar 2022 23:02:00 GMT

I understand however this are fees not purchases I have the cost based factor, so I guess I need to enter them individually basically they are expenses and should not be a Income, so in the worksheet of Turbo Tax each of them is under one line under each charge there are sales however TurboTax automatically place them under Date Sold and Sale Price 9Again they are not sales there are charges that the Grayscale BitCoin Trust BTC they apear as sales but they are NOT.

Question: what number should be on Cost or Other Basis the amount of the charge (Which is under Sale Price) or should I enter the cost base factor. (small fractional number like 0.000123456) (9 decimals)

All of them are not reported to the IRS bot Reported to the IRS under All 1099's under my broker accounts.

There are under L=Long Term(more than a Year) in this case.

any suggestion be appreciated!

Re: What does "Form 1099-B Worksheet. Cost or Adjusted Basis must be entered" mean?

RobertB4444 — Sun, 06 Mar 2022 23:18:07 GMT

@RGR3 I know this is weird but they ARE sales. They are fractional sales of your crypto that raised the money that was then used to pay fees.

And the fees are not deductible. I know!

So each of those listed transactions has a cost basis in the space provided for one. This should match the amount that you paid for the fractional amount of cryptocurrency that was sold to cover the fee you owed. If the amount listed under cost basis does not add up to what you paid for the currency then you'll need to do some research. You only need to pay tax on the profit from these sales so the cost basis is very important.