What is my responsibility if the sales advice states that the sales is "Noncovered" transaction?

Have not received form 1099-B from broker on Noncovered sales transaction. How do I report this?

117

Expert Alumni

Feb 18, 2021 6:53:29 AM

If it says it was not reported to the IRS. The broker did not know the status of the transaction(s).

Yes, you will have to determine if it is long term or short term. Here are the conditions.
- You will the to try to figure the date acquired.
- If you owned an investment for more than one year it is long term. Example: Jan 1st' 2019 to Jan 2nd, 2020
- If you owned the investment for less than one full year it is short term.
There is a drop down menu for the indication of the proper Box.
- Box B - Short term non covered
- Box D - Long term not covered
- (Not covered means the broker didn't know)
Yes you will have to try to figure out the basis.
- Basis is essentially what you paid for the stock. It is posted as the total cost. Not as the price per share.
- If you've determined a date of purchase, this website will help with the history of the stock.