Large amounts of stock transactions from 1099B with wash sales

Forum|Forum|5 years ago
March 19, 2021
9 replies
36 views

My client has a Robinhood 1099B- 47 pages worth of stock transactions- some with wash sales- I know I can not just bypass 8949 and use the box a transactions to report directly onto schedule D because of the wash sales-- so I’m wondering if there is another way of reporting these transactions on the 8949 without entering each one of the more than 500 transactions?

ProSeries Basic

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Best answer by Just-Lisa-Now-

ok, you CAN make the basis adjustment for the wash and enter it at the top, BUT youre not supposed to. Wash sales are supposed to be shown on the 8949.

G

Greta

Level 7

I too am finding wash sales annoying, I've putting each sale item that has a wash in Form 8494, but I'd hate to do it too often. Mailing Form 8453 with attachments is annoying too, and like Lisa said, no one likely reads that stuff. IDK.

Just-Lisa-Now-

Intuit Community Champion

If its got wash sales you cant just stuff it in the boxes at the top of the 1099B worksheet.

I just summarize and use the totals in the entry screen ST Covered, LT Covered, ST NonCovered, etc.

Many people also attach a PDF of the 1099B showing all the transactions, I never do.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

BobKamman

Level 15

@Just-Lisa-Now- "If it's got wash sales you can't just stuff it in the boxes at the top of the 1099B worksheet."

Why not?

If the point is to get it past some tax examiner in the Automated Underreporter Program at a Service Center, all they are going to look for is whether the gross proceeds match what is reported, and if the gain on covered transactions is at least as much as what is reported. If the gain is higher, the Manual tells them not to make an adjustment.

IRS can create paperwork burdens to a certain extent, but when it adds excessive time and cost then we are fostering voluntary compliance by using a shortcut that doesn't change the amount of tax owed. Until someone tells me to stop, I'll just adjust the cost basis of covered transactions to take into account wash sales.

Just-Lisa-Now-

Answer

Intuit Community Champion

ok, you CAN make the basis adjustment for the wash and enter it at the top, BUT youre not supposed to. Wash sales are supposed to be shown on the 8949.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

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