Question

RSU sell to cover for 2021

Forum|Forum|4 years ago
April 11, 2022
1 reply
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My employer reports all of my RSU sales on my W-2 - including sell-to-cover sales. When entering info into TurboTax, however, I'm not sure that I have the correct remaining gains being reported. Should I be entering the net proceeds for Box 1D in these sell-to-cover transactions, rather than the gross proceeds that show on the 1099-B?

R

RaifH

You can report the gross proceeds shown on Form 1099-B in Box1D and then adjust the cost basis so that the net proceeds end up being correct, which should result in a minimal gain or loss on the transaction. To do this in TurboTax:

In the Federal > Income & Expenses > Investment Income section of your return, click Start/Revisit next to Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B)
Answer Yes and then select stocks. Import or enter your transactions manually.
For the RSU transactions, make sure to select Yes to Do these sales include any employee stock?
Enter the transactions as they appear on the 1099-B with RSU selected as the type of investment.
If the basis reported on the 1099-B is not correct, you will be able to adjust it to match the supplemental information provided on the next screen. If you can't find the adjusted basis in the supplemental information, TurboTax will help you calculate it.