YFG
Level 1
07-06-2020
05:36 PM
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If the gain on sale from a cashless stock option exercise is already included in W-2 Income, how is the 1099B sales data recorded to avoid duplicate income?
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sjrcpa
Level 15
07-06-2020
06:13 PM
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The amount in the W-2 is used as basis when reporting the sale from the1099-B
The more I know the more I don’t know.
YFG
Level 1
07-08-2020
03:21 PM
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The basis was already reported on the 1099-B when the stock options were exercised and sold. Because this was a 'cashless' options purchase, the Employer included the gain on the sale in W-2 income also.
I used the Capital Gains(Losses) Detail Entry Worksheet to record the stock option exercise and sales transactions and increased the basis by the amount already included in W-2 income on Line 11-corrected basis.
Many thanks to sjrcpa!
sjrcpa
Level 15
07-08-2020
03:26 PM
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You're welcome.
The more I know the more I don’t know.
