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puls
Level 1

1099 B should I change cost basis for wash sale if I still own same security

Have a weird situation (atleast I feel) and I am not sure how and if I should remove wash sale amount and what cost basis should I use?  I have attached the 8949 screenshot of those 2 sales and as I still hold more shares of that ETF, I am not sure how I should proceed. Here's the scenario

 

I got 580 shares of an ETF on 1/30/20 for 68.86/share making total purchase price of $39939

I got 88 shares of same ETF on 3/12/20 75.57 / share making total purchase price of $6650

I sold 100 shares of that ETF on 3/20/2020 for proceeds of ~$4986, making a loss of  ~1900 (see screenshot) 

I sold 206 shares of that ETF on 7/21/2020 for proceeds of ~123560, making a gain of ~296(see screenshot)

 

I got dividends and got more shares allocated of that ETF on 3/26, 6/25, 9/24, 12/24. I still own 583.72 shares of that ETF.  Broker has reported both those sales of 1/30 & 7/21 individually and not allowing me to take the loss.  What cost basis should I use ? 

 

Can I remove these individual 8949 transactions from TT and put a single summary transaction or do I report individually? 

 Do I change the individual 3/20 sale transaction basis in Box 1e and do I delete the disallowed wash sale amount from box 1g? OR i n the less common adjustment screen,  I select "cost basis on my stmt is incorrect " and enter there?  

What cost basis should I use and where?

 

Thanks in advance.8949 sample.png

 

 

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1 Reply
JohnB5677
Expert Alumni

1099 B should I change cost basis for wash sale if I still own same security

Yes you can I remove these individual 8949 transactions from TT and put a single summary transaction. 

 

If you choose the option to enter a summary instead of entering each sale, then you have to mail a copy of the brokerage statement listing the individual sales. You have to send a statement.

 

If you e-file, TurboTax will produce a Form 8453. You print the Form 8453 and attach the brokerage statement(s) to it. If you file by mail, attach the statement(s) at the back of your tax return, after all the forms and schedules. In either case, click the "mailing instructions" link in the message at the bottom of the TurboTax page and follow the instructions that it displays.

 

No you should not change the individual 3/20 sale transaction basis in Box 1e and delete the disallowed wash sale amount from box 1g?

 

Here is how to post it.

Income & Expenses

  1. Scroll to Stocks, Mutual Funds, Bonds, Other
  2. Answer Yes to Did you sell stocks, mutual funds, bonds, or other investments in 2020?
  3. On the OK, what type of investments did you sell? screen, select Stock, Bonds, Mutual Funds. Then select Continue.
  4. From here, you can import or manually enter your 1099-B.
  5. Answer the questions about your sales. Choose to Enter sales one by one when asked.
  6. On the Now, we'll enter one sale on your 1099-B screen, enter your info.
  7. Check I have other boxes on my 1099-B to enter and enter the disallowed wash sale loss in box 1g.
  8. Select Continue and answer any follow-up questions.

Note: You'll need TurboTax Premier, TurboTax Live Premier, or TurboTax Self-Employed, TurboTax Live Self-Employed, to add any 1099-B forms.

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