What to report on stock proceeds for Tax filing?

Question

I just received my 1099 from my online broker. I'm not sure what to report on gains so please help me. For simplicity, I bought stocks at $2500, and sold them for proceed of $2800. My profit would be $300 so I'm thinking I should only report $300 as income/gain but my 1099-B only seem to have $2800 as gain. I'm new to reporting stock taxes so please let me know if I should only report $300, thank you.

I'm amazed at the lightning quick responses. Thank you for all your inputs, I'll be using Turbotax soon after I get all my tax forms in few days.

Answer 1

Calculate the gain using Schedule D. The 1099 only shows the proceeds from the sale. You subtract your cost basis from that and the difference is your gain or loss. From what you stated, your taxable gain should be $300.00

Answer 2

you report the gain of 300 as income. however on the form you show the cost 2500, plus the fees paid to the broker and the cost to sell the stock as cost and the difference as income. hence, if you paid 2500 plus 10 to buy and sold a t 2800 and 10 to sell, your net gain is 280. unless you are using a tax program, use the simple 300. otherwise there is a place for the other info on the form.

Answer 3

You file a federal 1040 long form, and show the stock sales on Schedule D. You will have to put EVERYTHING on there - they want to know when you bought, how much, when you sold, how much, your pet's name....

Okay, not the last part...but you do fill out the convoluted Schedule D...what you will pay taxes on will be only your gain, which is $300...but ALL the info goes onto your return.

Answer 4

You file a federal 1040 long form, and show the stock sales on Schedule D.
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Answer 5

You are given a place to report the stock you bought, for how much, how long u hold it ,and what you sold it for...minus the cost of the fee your broker charged u to buy and sell it. If u held it for less than a yr it's taxed at a higher rate.

Answer 6

Depending on how long you held the stock you would list it as var-s for short term (held for less than 12 months) or var-l (more than 12 months) That's assuming you bought stock at various times- If you bought it all on the same time you would put the day you bought it. You then put what you received from the sale in column D (sales price). In column E you put your cost. If you are using computer software then it will figure the rest out for you.

Answer 7

if you don't know to report take the help of online efiling web sites. these will provide you tax deductions also

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Answer 8

bossy has it.. most forget to subtract any other cost involved with the purchase/sale of the stock. interest paid on a loan for investment is also deductible