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Imported 1099-B creates Capital Gain (Loss) Adjustments Worksheet for each transaction

Forum|Forum|5 years ago
February 20, 2021
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As usual, I imported my 1099-B transactions from my financial institutions. In Forms mode, this immediately created a Capital Gain (Loss) Adjustments Worksheet (called "Capital g/l adj" in the forms list) for each transaction, even though these transactions have no adjustments. This hasn't happened with previous versions of TurboTax, and creates hundreds of entries, cluttering up the forms list. Why are these showing up?

Best answer by jimbeauxh

The creation of all those capital g/l adj forms seems to be triggered by a rounding bug in TurboTax when you import transactions that include cents that then get rounded on 8949. If I take a TXF file with cents, I get lots of adjustment forms. But if I take that same TXF file and round everything to the nearest dollar before importing, they don't get generated.

More discussion here: https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/turb[product key removed]ing-issues-crea[product key removed]nces-between-turbotax-produced-return-and/00/1948037

JohnB5677

You have the option to clear all of that out and manually enter the summaries.

If you do, you have to mail a copy of the brokerage statement listing the individual sales.

If you e-file, TurboTax will produce a Form 8453. You print the Form 8453 and attach the brokerage statement(s) to it.

If you file by mail, attach the statement(s) at the back of your tax return, after all the forms and schedules.

In either case, click the "mailing instructions" link in the message at the bottom of the TurboTax page and follow the instructions that it displays.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

M

msinykinAuthor

Yes, I know about that option.

My question is why an adjustment form is created for each imported transaction and shown in the sidebar list in forms mode. I have used TurboTax for years and it has just started doing this for 2020.

This causes the forms list to be hard to navigate, since it now has hundreds of entries vs. dozens.

J

jimbeauxhAnswer

The creation of all those capital g/l adj forms seems to be triggered by a rounding bug in TurboTax when you import transactions that include cents that then get rounded on 8949. If I take a TXF file with cents, I get lots of adjustment forms. But if I take that same TXF file and round everything to the nearest dollar before importing, they don't get generated.

More discussion here: https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/turb[product key removed]ing-issues-crea[product key removed]nces-between-turbotax-produced-return-and/00/1948037

T

Todd-Greeno

I received an alert from this page notifying me that "round everything in the TXF file to the nearest dollar before importing, the capital g/l adj forms don't get generated"... BTW, I use the TurboTax import process, so I don't see the TXF files...

I don't believe that is a good solution. I believe Intuit should fix the root cause of this issue; that is, fix the bug in the import process, so all of the TurboTax users aren't required to figure out how to get and edit the TXF files.

T

Todd-Greeno

I called Intuit today (March 15), and (after a short 7-minute wait) spoke with one of their Help Team Members. He confirmed that Intuit is aware of this issue, and TurboTax will receive an update later today that will correct this bug.

I asked if it would be necessary to delete the existing 1099 data and the associated Capital Gain (Loss) Adjustments Worksheets, and he said that the fix will automatically remove the Capital Gain (Loss) Adjustments Worksheets and will restore the 1099 info to its proper places.

I might create a new TurboTax file any way, so I can compare results...

T

Todd-Greeno

My TurboTax software did not receive an update until March 18...

After the update, I started a new return, and imported the 1099 Forms. The SAME ERRORS were created.

I call TurboTax Help again, and spoke with a Rep who quickly understood the issue was due to the TurboTax software rounding the entries, which in turn created the Capital Gain (Loss) Adjustments Worksheet for each transaction.

He was unable to find any references to a fix, though. He agreed that if there are 1,000 of these round-off issues, there could be a $500 discrepancy at stake.

I asked him to escalate this to the TurboTax Resolutions Desk, and he did that while I was on the call...

IF this does not get resolved, the only way I can see around this is to delete the imported 1099s, and manually enter the 1099 summaries.

Stay tuned...

J

jimbeauxh

I found two ways to work around this.

1) For my accounts with <150 lot transactions, after importing the OFX from the broker, I manually deleted each of the generated g/l adjustment forms. The reported 1099-B totals from TurboTax and my broker then matched to within ~$1.

2) For accounts with >150 lot transactions (too many for me to individually delete), I downloaded the CSV list of transactions from the broker and generated a TXF file with my own software that rounded off the cents. Importing that rounded TXF avoided the generation of those hundreds of g/l adjustment forms. I then manually adjusted a few of the transactions to make the totals match. Not ideal, and it only works if you can code and are using a desktop version with TXF support.

J

jarv1s

I have similar issue when trying to fix the entry it will not allow me to update and goes thru page unresponsive.

I did delete and re-import this still not working right , The line items I have is only 930. Awaiting for an update from Turbo Tax to fix the program. I am using the web version.

S

SDBusyWoman

These supposed 1099-B errors in Capital Gain (Loss) Adjustments were for me numerous flagged errors in the TurboTax-generated "Emp Stock Wks" . The buggy turbotax kept me in a vicious circle saying "0" on the amount of capital gains on the sale.

FIX THAT WORKED FOR ME: [Go To Forms] under View --and it showed each "Emp Stock Wks" with an error. Then you can go to each one at a time and hit the "show errors" and it will get near the bug-created error.

BUG: program has left blank next to completed the sold by date and that blank needs to be filled in with the number of shares sold. (In my case this was in the RSU section, since these worksheets were for those.

once I had filled in the blank with the number of shares (that was already there at the top of their worksheet) I was able to pass all checks and transmit my return.