the gain calculation for ESPP does not take into account the adjustment to cost basis. With adjustment it should show gain=0 but shows the same value as cost basis.

[Sam979]

I did say cost basis is incorrect when entering it and also entered the adjustment value in the next screen

[ThomasM125]

I think you mean your capital gain is showing equal to the cost basis of your investment sale. Since it appears you sold stock from an employee stock purchase plan, the applicable discount should be reported on your W-2 form. If so and you know the amount of the discount, you can likely add that to the cost basis reported on your Form 1099-B to arrive at the correct cost basis to enter in TurboTax. If so, after you enter your Form 1099-B, you can choose the I found my adjusted cost basis option on the screen that says Adjust your cost basis to insure your best outcome. If you enter the correct cost basis in that manner, you should get the property capital gain reflected in TurboTax.

A good way to determine the correct costs basis is to find out what you paid for the stock and add to it the discount associated with the shares you sold as reported on your W-2 form. You should do this to check the accuracy of the cost basis mentioned above.

Your third option is to go back through the entries required after you select the I can't find it  and need help option on the screen that says Adjust your cost basis to insure you best outcome, and make sure you answer the questions accurately.

[Sam979]

thanks for the detailed reply @ThomasM125 . I couldnt get the adjustment to cost basis work on a per sale basis. But was able to do it overall as a single amount and that adjustment worked and gave me the expected gain/loss.