Issues with ESPP income

Forum|Forum|6 years ago
March 4, 2020
3 replies
25 views

Seems there is a software bug related to computing ESPP income. I have two ESPP sales. After I went through all the steps, TurboTax showed me all zeros for "Proceeds from sales", "Cost basis from sales", "Adjustment" and "Total gain or loss". It seemed to be very strange. Furthermore, I printed out the corresponding Form-1099 B worksheets and saw some issues there. For both of these sales, I saw values for item 19 a "Adjusted Gain (Loss)", but got empty information on the following page, i.e. "Reconciliation info". It looked wrong to me. Seems the same issue was also hit by someone else:

https://ttlc.intuit.com/community/taxes/discussion/i-sold-espp-shares-and-my-employer-recorded-income-for-the-shares-higher-than-my-1099-b-reported/00/1225626

TurboTax Premier Online

DawnC

Level 15

Are you still experiencing the same results with your ESPP transactions? I have tried to recreate this to no avail. In order to assist you, I would like to take a look at your entries to see what's going on, if that's okay with you. This is a sanitized copy of your return with no personal info, just the data. To send me a copy, here are the steps you would need to take on your end:

In TurboTax online,

Sign in to your account, select Pick up where you left off
To your left, select Tax Tools, click on the drop-down menu
Select Tools
On the Tools Center screen, select Share my file with Agent ( the very last option)
Follow prompts
You will be given a token number
Please provide me with that token number.

Thanks!

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

chenyang78Author

Level 2

Thanks for the follow-up, @DawnC The issue is still there. See if you could reproduce it with the following steps and numbers. Note that those numbers are fake but should be able to show my case:

What type of investment did you sell?

ESPP

What is the sales category

Box D - Long-term covered

Select the information type you see in Box 1b:

* The data this investment was acquired

02/01/2018

Box 1c - Date sold or disposed

11/01/2019

Box 1d - Proceeds

$ 300

Box 1e - Cost or other basis

$ 70

Let us know if you'd like to make any changes to the cost basis

* I need help figuring out my cost basis

I got a discount

15%

Did you receive Form 3922 when you purchased these ESPP shares?

* Yes, I received Form 3922 when I purchased these ESPP shares

Let's get some purchase info about this ESPP sale from Form 3922

Box 1 - Date option granted

08/01/2016

Box 2 - Date option exercised

02/01/2018

Box 3 - Fair market value - grant date

$63.15

Box 4 - Fair market value -exercise date

$240

Box 5 - Exercise price paid per share

$ 53.68

Box 6 - Number of shares transferred

10

I just tried the above steps/numbers. After I finished all the steps, I got all of the fields (Proceeds from sales, Cost basis from sales, Adjustment, Total gain or loss) with 0.

P.S., in my real tax return document, I worked around the issue by manually input my cost basis number.

bret269

Level 2

I'm having the exact same issue(s) - i have 3 sales of espp with no supplemental form from morgan stanley - just the 1099-b's and the 3 form 3922's from my employer. my espp disqualifying gain amount from the 3 sales is already in my w-2 income. trying to adjust the cost basis thru turbo tax is like trying to turn water into wine.