Reporting RSU sold to cover tax on Fidelity

[yatoshura]

I received a consolidated 1099 form from Fidelity after some of my RSUs were sold automatically on vesting date to cover taxes in 2024. 

The 1099-B box 1d shows a proceed of $1000 and box 1e shows a basis of $0. However, Fidelity also provided a supplemental information form that shows an adjusted cost or other basis (z) as $999.96.

Which value should I use for the cost basis of this transaction on my 1040?

[NicolleR1]

You will enter "0" on "Total cost or other basis (sum of all Box 1e)" as shown on your form. You will then click on the box below "I need to adjust my total cost basis" and enter the amount shown on your supplemental form and choose "B" for reason of adjustment. See the image below for reference.

[yatoshura]

@NicolleR1 

I'm using the Windows version of TurboTax Deluxe and I don't see the options you shared in the screenshot. It only has a box for "1e Cost and other basis". Should I just ignored the $0 from my 1099-B box 1e and just directly enter the adjusted basis from the supplemental form there?

[ThomasM125]

You may need to indicate that you have employee stock when you enter the investment sale section of TurboTax to see the option to say you need to adjust your cost basis. It's on the screen that says Tell us about the sales on your (name of broker) 1099-B:

[yatoshura]

@ThomasM125 

My Windows version of TurboTax has these two relevant options for investment income.

* Sale of stocks, bonds, mutual funds, and other securities.

* Employer stock transactions.

I was able to input my 1099-B transactions using the form for "Sale of stocks, bonds, mutual funds, and other securities". However, it only has 1 box for cost basis like I mentioned in the previous response so I can only put in one value which is either $0 from my 1099-B box e or I can put in the adjusted basis from the supplemental data form.

The "Employer stock transactions" simply ask for the RSU grant date and it does not take me to any form to fill out the 1099-B information.

[RobertB4444]

Reporting it in either works for the IRS so use the one where you can enter the adjusted cost basis.  You should be good.

@yatoshura