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Another Tax Question


zevo

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I sold some company granted stock options in december....The net value was like 720$ and then taxes were taken out through that when the sale was made so ended up with roughly 400$ cash....My W-2 shows the 720$ Net amount from the transaction. My question is...is this the only number I have to utilize in doing my return? I was sent a Tax document from Etrade form 1099-B That has a sales value of 4,415$. That was from the sale of the options but my net gain was the 720$...Is the 1099-B form value just for if my company did not report the Net gain on my W-2? This is the first time I have ever sold any stock options...any advice would be appreciated.

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I sold some company granted stock options in december....The net value was like 720$ and then taxes were taken out through that when the sale was made so ended up with roughly 400$ cash....My W-2 shows the 720$ Net amount from the transaction. My question is...is this the only number I have to utilize in doing my return? I was sent a Tax document from Etrade form 1099-B That has a sales value of 4,415$. That was from the sale of the options but my net gain was the 720$...Is the 1099-B form value just for if my company did not report the Net gain on my W-2? This is the first time I have ever sold any stock options...any advice would be appreciated.

 

that is the proper reporting (for non-qualified stock options). You do need to report the 1099-B transaction on your return (Schedule D/Form 8949). But there will be no gain as your basis is equal to the strike price plus what they added into your W-2. So the sales price would be $4,415, your basis would be $4,415, gain of $0. Hope this helps.

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