How to

[perimclaren]

Hi there!

Under "Do you have any of these uncommon situations?" I selected yes for the "I exercised ISOs in 2024, but didnt sell the stock in 2024. Or I sold ISOc in 2024 that I purchased in a previous year." It took me to this screen and I have no idea what I am supposed to ender into these fields. 

I tried googling and searching within TurboTax but haven't had any luck. For context I bought an Incentive Stock Option for a company I was working at in 2022, when I dod this I got a Form 3921. That company was acquired in 2024 so my options were then bought out. I received a 1099-B and I filled out all of that information in my taxes and it looked like taxes were taken out when I inputted that. So I'm confused what I am supposed to put here and how I get the number. Please help!

[ThomasM125]

The ISO adjustment would be the amount of discount you received on the acquisition of the stock. In other words, the difference between what you paid for the stock and what the fair market value of it was when you acquired it. That would be reflected on the Form 3921. It would be box 4 on your Form 3921 less box 3 times the number of shares sold. If you held the stock more than one year, you would enter it in the long-term gain box, otherwise enter it in the short-term gain box. Enter it as a negative number.

It probably won't affect your taxes, as it pertains to alternative minimum tax, that most tax filers aren't subject to.