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Massachusetts Schedule B short term capital gains

I will have multiple short term capital gain transactions reported on my broker's 1099.  The majority of those transactions were gains, but I also had some transactions that were losses.  When I fill out my federal form schedule D, I plan to add up the gains and losses the transactions as a summary and report the total as a summary on line 1a.  

When I fill out the Massachusetts tax return, which one the following 2 options is correct to do?

Option 1: input the total listed on the federal schedule D line 1a on the Massachusetts Schedule B line 10  

Option 2: separate the transactions from the 1099 into the transactions that were gains and the transactions that were losses, add up the transactions that were gains and put the total on line 10, then add up the transactions that were losses and put the total on line 16?

Is option 1 above or option 2 correct?

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5 Replies

Massachusetts Schedule B short term capital gains

@Gettingitdone 

 It's pretty clear, even without referring to Instructions, that MA separates gains and losses onto different lines.

It would be interesting to see how TurboTax performs in this situation. I would be suspicious.

Massachusetts Schedule B short term capital gains

I tested it . If I put in every transaction separately TurboTax seems to separate the gains and losses. If I put in a summary total (which adds up to a gain) TurboTax puts the total on the gains line.  It also has a Massachusetts worksheet that allows additional entries or modifications. I’m wondering if it’s okay to use the summary and hence only fill out the Massachusetts gain line.

Massachusetts Schedule B short term capital gains

you should be able trick TurboTax by entering two brokerage summaries. 

Broker-1 will show only gains and Broker-2 only losses.

It should still all combine  on Sched D line 1a.

Massachusetts Schedule B short term capital gains

It would be great if I could do that- I wonder if Massachusetts wants to see an 8949 with every transaction or if they are okay with summaries. I read they get a copy of the federal.

Massachusetts Schedule B short term capital gains

all I can say is:

 

A) try it

 

B) see Instructions.

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