Join Early Retirement Today
Thread Tools Search this Thread Display Modes
1099 B question
Old 02-19-2011, 06:40 AM   #1
Recycles dryer sheets
Join Date: Sep 2010
Posts: 91
1099 B question

I got a 1099B for 1 share of a stock that was sold through broker/barter exchange by the broker.. This stock was actually picked up by me through a merger deal with another stock I owned. I have more shares of it but it seems one share was sold for whatever reason.

I know I need to report on a Schedule D somehow and I guess it is described as a broker exchange transaction. Is the cost basis for this 0 dollars?? I have no idea how to start with this and really don't even have a year for when I obtained it as it was a very old brokerage account that is long gone.

Also this is the only Schedule D listing I will have this year. Is there an amount where you don't need to attach the Schedule D?

Thanks for the help!

afntrn56 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 02-19-2011, 08:52 AM   #2
Thinks s/he gets paid by the post
Join Date: Jan 2006
Posts: 3,070
I think you're supposed to do Sch D on this. If you had only CG distributions from funds, you could get away w/o Sch D but this , I believe, is different. IRS will be comparing the 1099B numbers w/ your Sch D and if you don't report it there, they may wonder why. If you don't have the cost basis records, the official way to do it is, as you suggest to use a basis of 0. How much could you owe on 1 share unless it is BRK-A.
.........and if you're in the 15% bracket, LTCG are taxed at 0% rate anyway so it may be simpler just to use 0 and enjoy the rest of your life.

You should have gotten a brochure describing the merger. Look in the taxation section for more details on what you need to do. Post any questions on the tax forum in the CG subforum. If you
do, the name of the stock might also be useful.

I've usually seen where the fractional part of the converted shares gets turned into cash (but not a whole the rest in round lots of 100, 200,etc.
shares?) For the description, I would put the #shares, stock name or symbol, and perhaps CIL (for cash-in-lieu). Take your best guess at an acquisition date (> 1 yr ago , right?). You'll have to use one of the worksheets.....perhaps QDIV?CG calculate the tax .
kaneohe is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Help with Vanguard Brokerage 1099-B emilylynn FIRE and Money 9 03-01-2009 12:42 PM
Delay in 1099 mailings MichaelB FIRE and Money 27 02-15-2009 05:17 PM
Taxes, W2 and 1099 Earnings Alex. Young Dreamers 5 12-08-2008 08:10 PM
Shifting from W2 to 1099 consulting Kronk FIRE and Money 21 10-14-2007 12:49 PM
IRS form 1099-C dwk FIRE and Money 5 01-28-2007 02:36 PM


All times are GMT -6. The time now is 12:08 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2018, vBulletin Solutions, Inc.