How to enter proceeds from sale of rights to stock listed in transactions on 1099-B

Forum|Forum|1 year ago
March 16, 2025
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On my 1099-B I have a single transaction under the title:

UNDETERMINED TERM TRANSACTIONS FOR NONCOVERED TAX LOTS

For proceeds of $42 for sale of rights to stock. There is NO cost basis or date acquired entered. TT Desktop keeps asking for that info. How do I get pass this?

It is NOT included in the total proceeds in the summary of this account. It is listed under box B "basis not reported to IRS" and date acquired is N/A. Do I delete it from my downloaded transactions?

I read the community post from @pbs2bz in 2024 but still not sure how to proceed.

Thanks, Susan

JamesG1

The issuer of the IRS form 1099-B does not have the cost basis information or is not required to disclose the information. You will have to determine your cost basis from your personal records or sales tickets.

Were you issued the sale of rights by shareholder services because you were already a stockholder? Were the sale of rights purchased? Please clarify.

If you were already a shareholder and the sale of rights were issued to you, your cost basis in the rights would be some allocation of your cost basis in the actual share over that same share and that one right.

As an example, you paid $50 for one share of stock and shareholder services issued one right to you. Your $50 cost basis should now be allocated over the cost of the one share of stock as well as the one right.

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