I have errors on Form 1099-B Worksheet Morgan Stanley Capital Asset Sales worksheet

[Red Fox]

Dmitry - We are distinguishing between interest earned on brokerage accounts vs. interest earned on their savings accounts (Banking side of the house). I also imported brokerage interest on my brokerage account using the data import feed. But I did not get the savings account interest from the banking side of ET/MS.

[Red Fox]

I believe TT adds up all your bank interest items, and then rounds it before populating the Form 1040. Whether or not you "keep" it in your itemized list because it's less than 50 cents, or $1 or $10... that's up to you. 

[AmyC]

All worldwide income is to be reported on your tax return. The brokerage does not have to issue a 1099-int if the amount is less than $10. If 3 cents was imported that you do not want to report, you can remove that as it will not affect your tax liability.

@Dmitry1 

[Red Fox]

Yes to what Amy said. I wasn't suggesting anyone should not report income, only that like everything tax-related, if you choose to not report (because a 1099 is not issued) that is on you if you want to roll the dice with the IRS, whatever the amount might be. And I would argue that 3 cents could affect your tax liability, if it takes your interest summation to over 50 cents, and that rounded up dollar puts you in the next tax bracket. The odds of this happening are small, but it could happen. But now we are splitting hairs, because nobody will ever be audited on a dollar rounding issue moving them in or out of a bracket. For me, it's just a slippery slope. If I ignore 3 cents, maybe I ignore everything under a dollar... and then anything that doesn't issue a 1099 eventually. Better to just enter all the figures as you know them, and let TT and their "guaranteed accuracy" take over from there.

[wittestanley]

Also seeing these problems. If any notification goes out about this being fixed, would like to hear it.

[TAS467]

Update: Thurs Feb 22 @ 900 am Eastern

My E*Trade Relationship Manager called and provided an update. He was advised that a fix to the Adjustment Code issue is being implemented this evening on the Morgan Stanley side. He suggested waiting until tomorrow morning to re-download.

He also confirmed that the correct transaction data was sent to the IRS. This issue is a Morgan Stanley Download into TurboTax issue only.

[RickP56]

Thank you for the update, I am going to call my relationship manager this morning also.

[MalibuDave]

I have this issue as well. The documents from Morgan Stanley seem to be correct, but the import has an error which is preventing me from completing and filing my taxes. C'mon TurboTax ... how about a little communication on this issue.

[MarilynG1]

If your 1099-B import did not transfer correctly, you can Update or Delete Imported Data.  

If you're using TurboTax Online, close the program, clear Cache and Cookies, and re-try your import.

In TurboTax Online, you also have the option to upload PDF copies of your 1099-B, if you choose the 'Sales Section Totals'  to report.

@MalibuDave 

[fmeschia]

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@Dmitry1 wrote:

Disagree about the interests. TurboTax imported interests of $0.03 for me, though the reporting threshold is $10. Are they supposed to be removed manually in this case?

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It's off-topic, but I think $10 is their threshold, not ours as taxpayers. A financial institution may opt not to give you a 1099-INT if the interest is less than $10, but we still need to report interest in our 1040 even if it's less than $10.

[dbrown71467]

Alright folks here's the solution

After spending hours on the phone with both TT and MS without any fixes or answers to when there will be resolution I had a thought. I'm assuming everyone who has posted to the boards has downloaded TT desktop version instead of doing the online version. Anyhow, I decided to see if the online version of TT Premier would work and not throw up the errors for me. I entered all my information and imported both 1099-B from MS and did all the error checks and viola!! Here's the catch. You will need to call TT and tell them that you could not do your return on the desktop version due to the import issue and that the online version worked. They will issue you a refund for the download version so that when you pay online you're not being charged twice. These folks aren't the sharpest knives in the drawer, so it will take a few (a lot) of minutes to help you but in the end you can file your taxes. I ended up paying more because the online version cost more than the download version, but I just don't care anymore. Cheers!!!

[Red Fox]

Dbrown: We've been led to believe here that this is a problem with Etrace/MS post-merger import feed, which allegedly contains the incorrect "N" (nominee) codes. Those should import the same in the online version. I'm confused now, but glad it worked for you. Has anyone tried the MS/ET data import today to see if they might have fixed the feed? I'm going to try it again tomorrow morning.

[DawnC]

That is correct @fmeschia.   The payer does not have to send tax forms for amounts under $10, but we as taxpayers are still required to report ALL of our income.  

For those still having an issue, the changes being implemented will correct imported items with the N code, not just wash sales, so please sign up with the link in the article, below.

1099-B transactions reported with code N.  (sign up link)

[miklk99]

I tried today and still not fixed (I expect it to take longer)

[RickP56]

I talked to MS/Etrade this morning and they said expect to have it fixed in 24 hours.  So I will wait a couple days and delete the previous downloads and redownload and hopefully it works.  I had 203 errors pop up because of this. 🤦‍♂️