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templeone05
Returning Member

8824 part IV stock sales

I sold stock to avoid conflict of interest. I received a certificate of divestiture from the Office of Government Ethics for these stocks. I already filled in section IV of 8824 in TurboTax. 

 

After importing stock sales into TurboTax I am seeing that the capital gains on my stock sales are increasing the tax I owe. I somehow need to adjust the cost basis for the stocks I mention in paragraph 1.

 

Example:  I was forced to sale 100 shares of Amazon.com, for which I realized a $1000 short term gain. I can fill out part IV of 8824 form but after importing stock sale activity from my brokerage I still see the $1000 gain for Amazon.com reported in my 1099-B worksheet. 

 

How do I fix this?

 

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1 Reply
RobertB4444
Employee Tax Expert

8824 part IV stock sales

Did you purchase a replacement for the shares you had to sell?  If you didn't then the gain is taxable.  If you did then you enter the value of the replacement stock that you purchased and that will be deducted from your gain.  You had 60 days from the date of the sale to purchase replacement property.  If you didn't do so then the program is making the correct choice by entering the taxable amount on schedule D.

 

@templeone05 

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