short terms sales with cost base not reported to IRS

Forum|Forum|3 years ago
February 21, 2023
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short terms sales with cost base not reported to IRS.

Shulld I manually type my profit if short terms sales with cost base not reported to IRS

Vanessa A

If you have short term sales with cost basis not reported to the IRS you will enter the the total proceeds and then the cost basis if you know it in box 1e. Don't enter just your profit.

There is a box under box 1e, that you can check, if your form does not include the cost basis.

To enter your short term sales, you will select the following:

Income
Show More next to Investments and Savings
Start or Revisit next to the appropriate type of sale
Walk through and enter your information.

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julevtAuthor

Your answer still is not clear for me. I transfer all info for short terms sales with cost base not reported to IRS from brokerage firm to my TurboTax. All cost base and proceeds on box 1A, 1B, 1E exist on TurboTax page of investments. Where else should I enter this sale if it was not reported to IRS. Other words your advice go to income, investment, saving and enter this sale already been done after transferring this info from brokerage firm to TurboTax. Please advice should I somewhere else enter it?

JosephS1

Vanessa A gave you a good summary of steps to follow and from what you say is on your 1099-B you have most, if not all, of the needed information. The following below is may be a bit easier for you to follow as I will list the steps in detail and try to give you a screen shot as we go along.

Look to the left side of your screen if you are using TurboTax Online and click on "Wages & income.
Scroll down to "Investments and Savings" and click on "Show more" or "Edit/Add", whichever shows.
Locate the 1099-B in question and click on the down arrow and then "Edit", if it is there. If it does not show, scroll down to the bottom and click on "+add investments"
You indicated that you did import the information from the 1099-B and there is information in boxes 1A, 1B, and 1E. A and B are description and date acquired. E is the box for cost or other basis. Box 1D shows the proceeds of the sale. There have been instances where information that is imported will be placed in the wrong box. For the purposes of this, I will go on the basis that what you say is in Box 1e should have been what would show in Box 1d, as the proceeds from the sale. If this is the case, delete what shows in Box 1e and place that amount in Box 1d.
Please refer to the actual 1099-B if available and check the items that were actually imported. If they are as I suspect, please again delete what shows in Box 1e and place that amount in Box 1d.
If the imported transaction is showing in the list, click on the pencil to edit the transaction.
Look at the information showing for edit. If it does not show in the sales section, click on the down arrow and choose Short-term basis not reported to IRS (noncovered), and check the information imported, and change, if necessary to what you know it to be. The screenshots below should be of assistance:

Unless there is only one transaction or one date for sales, click in the circle for "Something other than a date" and then click on the down arrow for "Various"

If there was only one sale date place that in the next box, if several sale dates, I suggest entering a date in the middle of the year, such as June 30, or so. Then since the 1099-B does not show a cost basis you will need to enter one and tell the program the cost bases is incorrect or missing. I suggest entering $1 to avoid the program warnings. The numbers obviously are for example only. Click continue at the bottom.