I recently changed the Account Title on a long-held dividend reinvestment account. When name was changed Computershare closed the 'old account' and opened a 'new account'. I sold shares in 2022 and the cost basis shown on trade advice is only the cost basis of the dividends reinvested since the 'new account' was assigned.
I can adjust the cost basis to my actual records, but it will not agree with the Sales Advice reported to IRS and will flag me for audit / error. Is there (1) a way to adjust basis in TurboTax (2) a form within TurboTax to provide a written statement to the IRS explaining difference (3) any advice you can provide to efficiently handle this matter.
PS Sold another Computershare long-held dividend reinvestment and they simply put N/A for basis. In that case I just put my calculated basis.
Thanks
if you can't get the 1099-B corrected use code B. what the IRS says to use if the tax basis is wrong. then follow these instructions
• If this transaction is reported on the 1099-B - type B or on the 1099-B - type E (proceeds but not tax basis reported to the IRS then enter the correct basis on the 8949 in column (e), and enter -0- in column (g).
• If this transaction is reported on the 1099- B - type A or on the 1099-B - type D (proceeded and tax basis reported to IRS) then enter the basis shown on the 8949 in column (e), and correct the error by entering an adjustment in column (g). (the adjustment ids the difference between the correct number and what was reported
PS Sold another Computershare long-held dividend reinvestment and they simply put N/A for basis. In that case I just put my calculated basis. yes if the type is C or F - neither sales proceeds nor tax basis reported to the iRS
if you can't get the 1099-B corrected use code B. what the IRS says to use if the tax basis is wrong. then follow these instructions
• If this transaction is reported on the 1099-B - type B or on the 1099-B - type E (proceeds but not tax basis reported to the IRS then enter the correct basis on the 8949 in column (e), and enter -0- in column (g).
• If this transaction is reported on the 1099- B - type A or on the 1099-B - type D (proceeded and tax basis reported to IRS) then enter the basis shown on the 8949 in column (e), and correct the error by entering an adjustment in column (g). (the adjustment ids the difference between the correct number and what was reported
PS Sold another Computershare long-held dividend reinvestment and they simply put N/A for basis. In that case I just put my calculated basis. yes if the type is C or F - neither sales proceeds nor tax basis reported to the iRS