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When entering ESPP stock sales, is the ordinary income reported on your W-2 in the year you acquire the stock, or sell it?

 
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1 Reply
MinhT1
Expert Alumni

When entering ESPP stock sales, is the ordinary income reported on your W-2 in the year you acquire the stock, or sell it?

When you enter your ESPP stock sales, you should adjust your cost basis by the amount that your employer added as ordinary income on your W-2 in the year you acquired the stock.

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