Hello,
I am trying to get more information around how best to file with 1099-B for 2023. This is a use case for RSU's that were exercised years ago and a merger/acquisition happened in which I filed in previous tax years.
Now, years later cash proceeds that were held in escrow were distributed to security holders and I am trying to figure out how to input this properly.
In TurboTax Premier desktop I am being asked for:
The only boxes that have values are
The wizard does attempt to help me calculate my cost basis , however given I already have
You're right about the sales selection. You acquired the investment in 2018, though. Your cost basis is what you paid back then.
Thanks @RobertB4444 !
Turbotax won't allow for 2018 as an input for 'acquisition date', would I input payment dates from 2023?
To confirm, my cost basis would still be the amount I paid back then?
For ex:
In 2016, I exercised/purchased 100 RSU's for $1/share --> $100
In 2018, merger/acquisition occurred at a value of $500; I recognize capital gains
In 2023, I receive $10 from escrow, I would still input the $100 as cost basis? Re: Turbotax shows a 'negative' amount
Yes, you paid $100 for it so it's a loss.
And you can use the 2023 date. Since it's a loss the date isn't important.
Got it, @RobertB4444 so to summarize even though I previously was fully paid out and reflected the gain then , I would show a loss for the additional $10 now
-2016 Exercised/purchased 100 shares for $100
-2018 Acquisition led to payout of $500 for the 100 shares --> $400 gain
-2023 Escrow settlement additional $10 --> $90 loss for tax year
In 2018 you were paid $500 for your 100 shares purchased at $100 for a $400 gain then you have used the basis in your shares already.
It looks like you just got $10 that would normally have been part of the 2018 sale. I agree with Robert that it seems like you should have a basis for this money. I just don't see one.
The money is from 2018 so I would use that for purchase date and you have no choice but 2023 for sales date.
thanks @AmyC
I was able to look back at my records and in 2018 I did in fact 'use' the full cost basis already so I'm unsure if inputting $0 would be correct or/how I would re-calculate a cost basis
If you used up the full cost basis in a previous sale the cost basis for 2023 would be zero. There is no recalculation of the cost basis already used to reduce a former gain. You can use zero for cost basis or leave that field blank.