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phipbo
Returning Member

Reporting short term and long term gain for NUA employee stock sale

I transferred employee stock from a 401k to brokerage to take advantage of NUA in 2023.  One month later I sold a portion of the stock.  I understand I need to report a long term gain based on the withdrawal/transfer date and basis and a short term gain for the price change from distribution date to sale date.  My brokerage 1099B shows only a long term gain based on stock sale date with no basis reported.

 

Dmetz in a related post (https://ttlc.intuit.com/community/taxes/discussion/re-reporting-a-stock-sale-with-st-lt-gains/01/172...) described the general process but I don't understand how to do this in turbotax.  If I enter the 1099B in the interview screen the sales amount will be wrong since it isn't based on the NUA withdrawal date and if I enter a corrected value it won't agree with what is reported to the IRS by the broker. 

 

For the short term gain, I don't know where to enter this since I have no 1099B for short term gain.  Do I use the 1099B entry screen and one of the codes or do I make some sort of manual entry to the 8949?  And then how would I explain all of this to the IRS without mailing a hard copy return?

 

 

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1 Reply
CatinaT1
Expert Alumni

Reporting short term and long term gain for NUA employee stock sale

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