Turbo Tax Deluxe federal efile supports ESPP filing and 1099-B or not?

[TomYoung]

Not sure what you're saying here.

The online version of TurboTax Deluxe does not support the reporting of security sales, reported on a 1099-B or not.  So you can't even enter a security sale using this product and report it in an income tax return, irrespective of how you file.

The desktop version of TurboTax Deluxe does support the reporting of security sales, reported on a 1099-B or not.  I believe that the Deluxe version doesn't have an step by step interview for the sale of shares acquired via an ESPP, but if you know what you are doing and the compensation from you sale of the stock is reported on your W-2 you can certainly report the sale.  And you can e-file or snail-mail your income tax return.

Tom Young

[meghan-o-dion]

I have TurboTax Deluxe and I'm trying to determine whether I need to add additional compensation for the ordinary income portion for the qualifying dispositions of ESPP shares.  Based on reading some of the blogs, it seems like TT Premier will make the ordinary income adjustment for you and add the income to line 7 of 1040, but what is the process in Deluxe?  I don't want to incorrectly include income if I don't have to, so just want to make sure that TT Deluxe isn't doing it through some other way automatically.  So far, I went in and did a cost basis adjustment using the supplemental information statement I got from my broker, and used code "B" (not sure if that is the right code to use, so confirmation would be appreciated), however I wasn't able to tell that the adjustment carried forward to line 7 (however, I could be missing it).  I did see a blog post that suggested that I add the income in via "miscellaneous income", however it wasn't clear whether that would be employee income or other income.  THANKS!

[TomYoung]

As I said I unsure if Deluxe has the ESPP step by step interview or not, but it sounds to me like you didn't use that interview, you simply corrected the basis reported by the broker.  So TurboTax would not post additional compensation income to line 7 in that case.  And a code of "B" is fine.  I don't know what "blog post" you saw about entering the compensation via the "miscellaneous income" path so I can't comment on that.

In my own answers here to people who need to enter the compensation on line 7 of  Form 1040 I have provided a mechanism for doing so but I'm away from my computer at this time and for the next week so I can't repost that at this time.

[meghan-o-dion]

Thanks Tom.  The blog post I saw was: <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/3833150-ordinary-income-from-espp-sale-is-not-reported-on-w-2">htt...> . As far as I can tell, the Deluxe version of TT doesn't have an interview process for ESPP, so I think I'm stuck doing this manually, unless you have other advice.