Amount Realized -Form 1099-B
This is the amount you receive when you sell an asset. Your broker or mutual fund company will send you a Form 1099-B or a substitute statement. The document will list the sales price of mutual fund and stock shares you sold during the year. By law, your broker or mutual fund company must send you a 1099-B by Feb. 15, 2021.
The amount shown on the 1099-B is the total amount you enter on your return for that particular sale. The IRS checks to see if the amount you reported is the same as what your broker or mutual fund company reported.
Most 1099-Bs report the net sales price. This is the gross amount minus commissions and other expenses. Your broker or mutual fund company will tell you on the form if the amount reported is the gross sales price or the net sales price. The gross sales price includes commissions and other expenses.
If your 1099-B reports the gross sales price, you should:
- Enter the amount on the form.
- Adjust the mutual fund’s cost by adding to it the sales commissions or expenses you paid.
Let H&R Block help you determine when your tax return will be deposited into your bank account based on the IRS refund schedule.
The IRS can start the process that leads to the State Department restricting your passport. Learn more from the tax experts at H&R Block.
Did you contribute more than the annual limit to one or more of your IRAs? Explore your options for avoiding a penalty. Get tax answers at H&R Block.
An identity theft indicator has been placed on your IRS account. Learn more about notice CP01 from the tax experts at H&R Block.