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Level 3
April 6, 2026
Question

When a client box E checked on a 1099B, do you have to report it on the tax return?

  • April 6, 2026
  • 2 replies
  • 6 views

When a client has Box E checked on a 1099B which indicates not reported to the IRS, do you have to report on the tax return?

2 replies

Level 5
April 6, 2026

Yes. On the worksheet you check no for basis reported to irs, and yes for 1099b. And fill inthe rest as usual.

 

IntuitAmyC2
Level 4
April 6, 2026

Box E noncovered means the client will have to supply the basis. If left unreported, the IRS will assume the full amount is taxable and send a bill.

This usually happens with older stock purchases, from pre-2011.