Schedule D - basis adjustments not appearing on Form 8949

[njkemps]

Between 2016 and 2019 I had exercised ESOP options on about 15 occasions.  The resulting stock, recorded by the broker on a strike-price basis, was "sold" in early 2020 when the company was taken private.  Since I paid tax on the compensation income (market price minus strike price) the "true" basis would much higher and our tax burden much different.

I went through the multi-question process inside TurboTax to the lot bases updated.  Mathematically it looks to have worked OK but the lots incorporating these adjustments are recorded on Schedule D, line 8a, which is meant only to show those "for which you have no adjustments".  (Nothing on any 8949.)  I am certain that filing the return this way, where the basis does not match what's already been reported to the IRS, will guarantee an agency response and I'd rather submit it the way the Schedule D instructions require.

How can I fix this?  Thanks -

[njkemps]

Figured this out, or at least arm-wrestled TurboTax into filling out the forms properly.

I needed to change the "Was this a sale of employee stock?" answer to "No" and change the cost basis back to what was originally imported.  Even  though these shares arose from NQSO grants (and I'd answered the TurboTax questions that way) the lot-by-lot basis had been altered so that no Form 8949 was produced.

I don't think TurboTax was actually designed to override the basis for NQSO-derived stock.  However, this was the only way I could find to get 8949 records the way the IRS wants them for Schedule D.