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Entering Cost Basis Adjustments in TaxACT®

 
If you opted to include an adjustment line(s) to reconcile cost basis differences with 1099-B on your TradeLog generated Form 8949 the adjustment(s) will appear on the TradeLog Form 8949 but will not import into TaxACT®. TaxACT® does not allow importing of adjustments for Form 8949 with the appropriate code "B". Therefore you will need to manually enter each of the two possible adjustment lines as shown below:
 
IMPORTANT NOTICE: The IRS no longer allows a negative number to be reported in the adjustment column when e-filing. Therefore, if TradeLog created a negative cost basis adjustment, you cannot enter this line into TaxACT®. You may choose not to enter this adjustment line, or we recommend using the Form 8453 filing solution for TaxACT®.
 
To enter a cost basis reconciliation adjustment line into TaxACT®, follow these instructions:
 
1. In TaxACT®, navigate to Federal Q&A, Income, Investment Income, Gain or loss on the sale of investments, then choose Stock Assistant.
 
 
2. Click on Stock Assistant.
 
 
3. When the Stock Assistant window has loaded you will see all of the data you have already imported. Scroll to the Bottom of this window.
 
 
4. Click on the last blank line to create a new record and fill in the fields below, then click OK to continue.
  • In the Description field, type the appropriate description as shown on the adjustment line listed on your TradeLog Form 8949.
  • For Reporting Category make sure it lists the record as A or D (depending on which section of Form 8949 the adjustment is listed).
  • Enter the Cost or Other Basis number that is listed on TradeLog Form 8949 Column G for the adjustment line.
  • In the Code column choose code B for basis adjustment.
  • In the Adjustment Amount column, enter the same number entered in the Cost or Other Basis column.
 
Some users will have two adjustment lines - one for short-term (category A) and one for long-term (category D). Therefore, you may need to repeat these steps to enter both.
 
 
5. TaxACT® should return you to the Investment Sales - Summary page. Scroll Down to the bottom of the page and confirm that the adjustment you just entered is listed. (Note, the amount of $0.00 listed is correct as there is no gain or loss for this record).
 
 
If you have more than one adjustment line in TradeLog Form 8949, then repeat these steps for the second adjustment.