Turbo tax stock option exercise
You almost assuredly don't, assuming the stock options were options on your employer's stock, which I surmise from the "don't get taxed twice" comment. I'm sure your broker is telling you that some of the stock sold was "for taxes" - that helps you understand how your net check was derived - but that doesn't mean the broker actually paid the taxes to the government on your behalf. The stock sold "for taxes" was passed back to your employer, who paid the government, and included that amount in the "taxes withheld" sections of the W You can check with your payroll department to be sure.
How do I enter income from exercising stock options?
The way you make sure you don't get "taxed twice" is to make sure you use the CORRECT BASIS when you report the sale. That will eliminate a "double income" effect. When you sell stock acquired via an employer stock incentive program your basis for the sale is the sum of: The basis reported omits the "compensation" element of the sale and therefore the "compensation" gets reported twice if you enter the B as it reads, once via the W-2 and then again on the sale of the stock.
Clearly the "fix" here is to add back the compensation element to the basis of the stock being sold. Of course if the sale is not for ALL of the stock received under an employer stock incentive plan award, you then you need to convert the compensation element to a "per-share" figure which you use in reporting the sale. If the B is not reporting the basis to the IRS, you simply type in the correct basis. And you are done.
If the B i s reporting the basis to the IRS and is not using the correct basis, maybe only the amount you paid for the stock , then enter the B as it reads in the spreadsheet-like "fill in the boxes" default entry form but then click on the "Add More Details" box or maybe "Edit Details" , and the "Start" button, or maybe "Edit.
On the next page select the first option which is to "add or fix info" reported on a B. That's the interview you want and that's where you can fix things. Tell TurboTax that the B is reporting the wrong basis and then enter the "missing" compensation to get to the correct basis. TurboTax will report the sale on Form "as reported by the broker" but will put an adjustment figure into column g of the Form, a code "B" into column f of the Form, and the correct amount of gain or loss which includes the adjustment.
If this is a "same day" sale then the most common result from entering the sale is a small loss due to selling commissions and fees.
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Submit a question Check notifications Sign in to TurboTax AnswerXchange or. Back to search results. I sold some stock options and looking at my exercise confirmation I had some taxes withheld.
How do I file form for stock options I exercised? - TurboTax Support
Where do I supply the information on this so that I don't get taxed twice? Answer You almost assuredly don't, assuming the stock options were options on your employer's stock, which I surmise from the "don't get taxed twice" comment. Was this answer helpful? No answers have been posted.
Non-Qualified Stock Options - TurboTax Tax Tips & Videos
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How to Report Stock Options on Your Tax Return - TurboTax Tax Tips & Videos
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