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January 24, 2023
Question

What code is used in form 8949 column (f) for the adjustment put in column (g) that my exercised stock options capital gain were transferred as ordinary income?

  • January 24, 2023
  • 2 replies
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How do you figure out adjustments on form 8949 columns (f) & (g)?

2 replies

January 24, 2023

We need you to provide additional information regarding your tax situation.  For most transactions,  columns (f) and (g) will not need any entries.  You may need to complete columns (f) and (g) if you got a Form 1099-B or 1099-S (or substitute statement) that is incorrect, if you are excluding or postponing a capital gain, if you have a wash sale, or in certain other situations.  

 

Was your capital gain incorrectly reported to you as ordinary income?  If that is the case, you should request that the entity that reported the transaction to you issue a corrected form.  The link below will take you to the IRS publication that explains each of the codes for column (f).  

 

How to Complete Form 8949, Columns (f) and (g)

 

@justquinn16

 

 

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January 24, 2023

Thanks. Got 1099-B showing stock option buy / sell  simultaneously with a capital gain.  This is what will be reported to IRS with gross proceeds, cost basis and that capital gain.  However, because it’s a short term gain, this gain was immediately transferred to my company as ordinary income and included in a payroll check with all taxes taken out.  

A 1099 Supplement was included with the 1099-B showing the adjustment of that gain being removed to zero it out since I already got taxed on the gain.  This supplement is not reported to IRS so I have to make the adjustment in column g to remove that gain (believe it will be the negative of the gain amount?).  I then don’t know the code to use in column f (since the gain is actually incorrect then thing “B”?). 

January 24, 2023

“think” B would be the code?

April 10, 2024

I need to put amounts in Column G of Form 8949 Part II.  Where in the step by step process are these amount input?

April 15, 2024

In the step by step process for stock sales (1099-B entry) there is a screen where you indicate that your cost basis is incorrect.  You then enter the correct cost basis and TurboTax does the rest.   If you imported your 1099-B you might need to delete the transaction and enter it manually in order to make the adjustment.  

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