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April 8, 2023
Question

Will turbo tax direct me to the correct form to list my wash sale losses for PA tax purposes

  • April 8, 2023
  • 1 reply
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how will turbo tax handle my wash sale losses

1 reply

JohnB5677
April 10, 2023

Wash Sales are disallowed losses, and the recording of them will have no impact on your tax return.  The information from your federal return will carry over into your PA tax return.

 

Record the wash sale in the 12099-B investment section of the tax return.

  1. Start at Federal
  2. Wages and Income
  3. Scroll to Investments & Savings
  4. Select Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B) [Start or Revisit]
  5. Did you have investment income in 2022? - Yes
  6.  Get ready to be impressed  Continue
  7. You can enter your information to import the details
  8. —----------- OR —------------------------
  9. Select Enter a different way.
  10. Choose the Box Stocks, Bonds, Mutual Funds Continue
  11. Follow the interview to post your information.

If you've closed the Wash Sale by selling the underlying stock that generated the Wash Sale, you may have to adjust the cost basis.

Post the sale of the stock exactly as it is shown on your 1099-B.

You can now correct the cost basis:

 

Continue in the 1099-B entry screen.

  1. As you enter the dates and proceeds, there is a check box for The cost basis is incorrect or missing on my 1099‑B
  2. Use this option to correct any errors on a cost basis.

 

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