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Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
Satisfied Customers: 6179
Experience:  Extensive Experience with Tax, Financial & Estate Issues
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I received a statement of taxable Income exercises with 83()

Customer Question

I received a statement of taxable Income for unvested exercises with 83(b) on Vest. There is a column showing w-2 income for $199K. I also have confirmation statements where the stock was sold and taxes were taken out. Is the taxes that were calculated on the confirmation statements already included on the w-2. Also what exactly am I supposed to do with the statement of taxable income. Thanks
JA: Thanks. Can you give me any more details about your issue?
Customer: I received a statement of taxable Income for unvested exercises with 83(b) on Vest. There is a column showing w-2 income for $199K. I also have confirmation statements where the stock was sold and taxes were taken out. Is the taxes that were calculated on the confirmation statements already included on the w-2. Also what exactly am I supposed to do with the statement of taxable income. Thanks
JA: OK got it. Last thing — Tax Professionals generally expect a deposit of about $32 to help with your type of question (you only pay if satisfied). Now I'm going to take you to a page to place a secure deposit with JustAnswer. Don't worry, this chat is saved. After that, we will finish helping you.
Submitted: 8 months ago.
Category: Tax
Expert:  Stephen G. replied 8 months ago.

Megan is not currently available (she's probably doing tax returns), so your Question was returned to the "Que".

I'm Steve G. & I think I can assist you.

Customer: replied 8 months ago.
Hi Steve
Expert:  Stephen G. replied 8 months ago.

Hi, I'm just typing my response. You are ?

What state are you in?

Customer: replied 8 months ago.
Oh sorry my name is ***** ***** I live in NC
Expert:  Stephen G. replied 8 months ago.

First of all, if the options & purchase were handled correctly the tax withheld would have been returned to the Company to be included in your W2. You should be able to check this out by looking at your y/end pay stub, & checking the year-to-date withholding. Or you could ask your HR/Payroll Department.

Expert:  Stephen G. replied 8 months ago.

So, basically as far as the stock you sold (did you keep some & just sell what you need to pay the withholding tax?)

Customer: replied 8 months ago.
Some of the shares were sold to cover taxes.
Expert:  Stephen G. replied 8 months ago.

Your tax basis (cost) per share may (should be) already entered on the 1099B Statement & it should be the amount that you paid ordinary income tax on (your W2 compensation); there should be very little if any gain or loss on the shares you sold but they need to be reported on Form 8949 which is the Schedule D subschedule.

Expert:  Stephen G. replied 8 months ago.

Does that cover your questions?

The Statement of taxable income is simply for your records.

Customer: replied 8 months ago.
Thank you
Expert:  Stephen G. replied 8 months ago.

OK Great.

Please remember to rate my response as that is the only way we receive credit for our work.

Thanks very much,

Steve G.