Exercising a NQSO can't be handled by the TurboTax software without over-riding the tax forms and negating electronical filing. This deficiency should be corrected by TurboTax software engineers This should be fixed

[anudo44]

In my case I have capital gain loses carry over from 2023 and  after doing the cost basis adjustment on my NQSO I can see my capital gain loses carry over from 2023 being completely use.  So this is an indication that even that I did the cost basis adjustment correctly following all the TT prompts, TT still adding my 1099B for those NQSO as capital gain when in the contrary it should have being adjusted so it can be only account as ordinary income already reported on the W2.  In summary this 1099B for those NQSO should not be account as capital gain.   I still not found a solution.  Please help!

[anudo44]

I figure it out after reading this article by turbo tax:

https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-forms/fix-basis-nqso-sale-also-repor...

From the article this is the information that helped me out:

"A same-day (cashless) NQSO transaction will usually net out to a small loss, representing the commission and fees associated with the transaction."

I use this information to confirm that I did my entries correctly.  TT recommend to enter the sales one by one.  As multiple people had noticed this is not working in 2024 because it don't allow you to use a negative sign applied to the cost basis.  The fix is to use "Enter sales totals instead".  I was able to enter the totals from my 1099-B and I calculated the individual cost basis adjustments to enter them in TT.  I didn't used the fees in the cost basis adjustments calculation since it was already taken out in my 1099-B form column 1d.  The outcome was a small loss, representing the commission and fees associated with the transaction, I also notice that the small loss was added to my capital loss this is a second confirmation that now it is enter correctly because it is counting as ordinary income as expected.  I hope this help!

[MarilynG1]

If you indicated when entering your 1099-B that 'cost basis is missing or incorrect' then entered the correct Cost Basis on the next page, you can enter it as a regular stock sale in TurboTax (not employee stock).  Your Cost Basis is the exercise price, plus the discount reported on your W-2.

You may want to delete/re-enter your 1099-B.  If you're using TurboTax Online, clear your Cache and Cookies before re-entering.  You should end up with a small gain or loss, and Form 8949. 

Here's more detailed info on Reporting NQSO Sales and Calculating Basis for NQSO.

@CatMc 

[MMmmm2]

that's right, the TT added my 1099-B boxA gain to my capital gain, so I'm paying double tax.  The NQSOs was reported on W-2.  Please change.  Thank you!