[jjav]

> Something that commonly happens is that your brokerage sent you the cost basis for those sales at $0 on your 1099 form.

Can't emphasize this enough. Etrade does this, which is maddening. The form they send has the wrong numbers (zero cost basis).

There's another form buried in their website where you can get the actual cost basis. Must use that one, otherwise will massively overpay taxes.

Why Etrade why.

[PopAlongKid]

It's not Etrade, it is the IRS instructions for Form 1099-B, Box 1e (cost basis).

"If the securities were acquired through the exercise of a compensatory option, the basis has not been adjusted to include any amount related to the option that was reported to you on a Form W-2."*