In TurboTax Premier 2020 when I enter the sale of stock acquired from an exercise of ISO prior to 2020, I am encountering a bug.
After entering the 1099 information TurboTax asks if this sale is of an ISO. After entering Yes, Company, Exercised prior to 2020, etc.; Turbo Tax asks me:
Enter Your Sale Information:
Enter each sale of stock granted through an ISO separately
Date Sold(Box 1c) ______
Number of Shares Sold _____
Selling Price Per Share
I entered the date sold and number of shares sold. TurboTax does not allow me to enter selling price per share, there is no entry field for that. After I press Continue, TurboTax tells me that I did not enter a Date Sold.
If I go to the form view and try to enter the correct info using overrides, finish entering Form 3921 info, etc., then ISO Sales proceeds, compensation, etc. are all computed incorrectly. And, Disposition of Property is not computed or shown in the Alternative Minimum Tax calculations.
This exact same procedure works in TurboTax Premier 2019.
Much of the 2020 program is still not fully functional ... the Sch D is estimated to be ready by 1/14 but dates are subject to change.
I think I may have figured out how to get around this. It seems that the actual problem is a mismatch between numbers on the worksheet and the actual form. On the form I enter the amounts with the cents included after the decimal point. The worksheet rounds the number off to the nearest dollar. If you just round off the numbers you use on the form, it will let you proceed.
Form 6251, Alternative Minimum Tax is not scheduled to be available until 2/4/2010. Maybe it it will work after that update.
The problem still exists. I hope the update after 2/4/2021(?) fixes the problem.
Available date postponed it appears.
Same issue here on 2/3/21 regarding entry of ISO sales. No problem in past years. I'm also having a few bugs when entering the information through the forms view--it works for all lines entries except one, gives wrong holding time (long vs short) although all dates are accepted. Asks if I want to override calculated value, I click yes, but then no change. I haven't looked at AMT yet.
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To see learn how transactions affect your taxes, continue to read:
Incentive Stock Option transactions fall into five possible categories, each of which may get taxed a little differently.
With an ISO, you can:
Each transaction has different tax implications. The first and last are the most favorable. The time at which you sell determines how the proceeds are taxed. For details, click here: ISO