Yes, you can report this in the Investment Income section. Click the Start (or Update) button to the right of Stocks, Mutual Funds, Bonds, Other.
Note: Ensure that you answer "No" the question as to whether you received a 1099-B
But the Online version doesn't seem to have a specific Bad Debt entry screen.
Another SU posted……For the Online version, There is no way to add the required attachment for describing the bad debt using the online edition for Schedule D Line 1. Nor is there a way for the user to know that the debt can only be a short term capital loss where Box C is checked on the 8949.
@VolvoGirl wrote:……For the Online version, There is no way to add the required attachment for describing the bad debt using the online edition for Schedule D Line 1. Nor is there a way for the user to know that the debt can only be a short term capital loss where Box C is checked on the 8949.
That appears to be the case, at least with Online Premier. The screenshots below were the closest I could come to the entry, which is still not sufficient.