Drake Tax - 1099-B - Noncovered Securities

Article #: 13580

Last Updated: October 21, 2024

 

Tags: Drake Tax1099B

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In Drake Tax, there is no data entry field for Box 5, Check if non-covered security. If Box 5 is marked on the taxpayer's Form 1099-B:

  • the broker may, but is not required to, report the following information:

    • Box 1b, Date acquired. Enter on screen 8949, field 1b.

    • Box 1e, Cost or other basis. Enter on screen 8949, field 1e.

    • and Box 2 Type of gain or loss. Enter on screen 8949, field 2.

Caution  To ensure an accurate tax return, the taxpayer must supply any information missing from 1b, 1e, or 2, or confirm it if it is present.

  • Whether or not required, if that information is reported, then Box 3, Check if basis reported to IRS, is marked. Indicate whether Box 3 is marked on screen 8949, from the Applicable check box on Form 8949 drop list. Select either:

    • 1 - Basis reported to the IRS (Check box A\D)

    • 2 - Basis not reported to the IRS (Check box B\E)

Image of "Applicable Part I/Part II checkbox" drop list on screen 8949

Check boxes A and B refer to short-term transactions displayed on Part 1 of Form 8949 in View/Print mode.

Image of "Part I" section on Form 8949

Check boxes D and E refer to long-term transactions displayed on Part II.

Image of "Part II" section on Form 8949

See the instructions for Box 5 In the Instructions for Form 1099-B.