Discussion:1099B - Tax withheld
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Discussion Forum Index --> Basic Tax Questions --> 1099B - Tax withheld
Discussion Forum Index --> Tax Questions --> 1099B - Tax withheld
| 12 May 2008 | |
| I have a client whose 1099B has taxes witheld for a stock sale transaction. It is not just the federal income tax that is withheld, but also SS & Medicare taxes. The Capital Gains worksheet in ProSeries Basic has a field where the federal income tax is captured, but where would you report the SS & Medicare tax that was withheld? | |
| 12 May 2008 | |
| Perhaps this is in conjunctiom with the exercise and subsequent sale of a non qualified stock option (NQSO ). If so these taxes (including FIT ) are already reported on the W-2 and shouldn't be entered again . I recommend you look at the 1099 -B closely (particularly the name of security sold ) and contact the brokerage company.You may need a corrected 1099 B.
The value of the NQSO(difference between exercise price and grant price ) is indicated in box 14 of W-2 with a V code . | |
| 12 May 2008 | |
| You still have to enter the sale on Sch D. The cost basis is the same, plus commission. Usually a STCL. | |
| 13 May 2008 | |
| The withholding taxes that are listed on the 1099B are probably just a memo of what is included on the W-2. That is done to show that the check received is not the same as the taxable proceeds. | |
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