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Employee Stock Options question

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jmrogers7

Junior Member
Hi -

I have a question regarding how to report my exercising of my Employee Stock Options. I filed my return and forgot to include my ESO in the return. So, I assume I will need to do an amended return.

My question is this. When I exercised the ESO's my company took out all applicable Federal taxes, State taxes, SS, and all applicable fees associated with the transaction and then dispersed the proceeds to me in my regular paycheck. These taxes and income were included as part of my year-end W-2.

My 1099-B only shows the gross proceeds from the exercise. I assume that I have to include this on a Schedule D. However, since I already paid the applicable taxes from the sale won't including this on a Schedule D cause me to get taxed again for this transaction since the 1099-B shows ZERO for Federal taxes withheld (I assume this is because it is the investment company reporting on the 1099-B and they did not withhold federal taxes even though I had federal taxes witheld by my company when they dispersed the proceeds of the transaction to me viw my paycheck)? I did an inital run-through on the Schedule D but do not see anywhere to tell it that I have already been taxed on this transaction on my W-2.

Any help is greatly appreciated. Thanks!
 



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