Desktop: Form 1099-B - Aggregating Multiple Stock Transactions

Form 1099-B is used by brokerage firms to report stock transactions. Brokerage information may have several transactions. These transactions can be aggregated instead of being individually entered. 

The criteria used to determine whether transactions can be aggregated is contained here. For a transaction to be aggregated, it has to conform to the following: 

• Boxes 1f and 1g of Form 1099-B are blank 
• Form 1099-B Box 2 “Ordinary” check box is not checked 
• Form 1099-B Box 3 “QOF” checkbox is not checked 
• Form 1099-B Box 12 displays basis reported to the IRS 
• The taxpayer does not intend to elect to defer income as a result of investing in a QOF, nor break off deferral from QOF investment 
• There are to be no other adjustments required to the basis or the gain or loss 
• No change is to be made to the type of gain or loss 

Those transactions that are unable to be aggregated are to be individually entered. Brokerage statements (in PDF copy) should be attached alongside the return in the event that there are any aggregate entries on Form 8949. 

There are two ways of aggregating transactions on the Taxx Savage Pro: 

1. Aggregate directly on Schedule D. 

• Go to the Main Menu of the Tax Return (Form 1040) 
• From the menu select Income 
• Then select Capital Gain Loss (Sch D) 
• Click on the Other button 
• Short Term 1099-B Transactions with no Adjustments
• Long Term 1099-B Transactions with No Adjustments - enter the aggregate sales price first, followed by the aggregate cost 

The Short-term aggregate amounts will flow to Line 1a of Schedule D while the Long-term ones will flow to Line 8a of Schedule D. 

1. Aggregate in a single Form 1099-B entry on Form 8949. 

• Go to the Main Menu of the tax return 
• From the menu selec Income 
• Then Capital Gain Loss (Sch D) 
• Select New 
  • Description of Property - provide a description, for instance, “Aggregate short-term” 
  • Form 1099-B Type - Choose Cost Basis Reported to the IRS 
  • Date Acquired - Choose either Various Short-Term or Various Long-Term as may be appropriate 
  • Date sold - Enter the tax year’s last day 
  • Sales Price - Enter the aggregate sales proceeds for the transactions
  • Cost - Enter the aggregate cost for the transactions 
  • Adjustment Code - Check the boc for M - Reporting Multiple Transactions on a Single Row, then click Ok. 

Form 8949 will bear the aggregated transactions. Short term transactions will be in Part I as Part II will have Long term transactions. 

In order to attach a PDF that shows the details of the aggregated transactions: 

• Go to the Main Menu of the tax return 
• Select Income 
• Then Capital Gain Loss (Sch D) 
• Click on the Other button 
• Select Attach PDF Document 
• Then click on New - Locate the PDF document then double click on it. 

Pro-Tip: Scan a large brokerage file in black and white to keep its size low instead of using color or grayscale. To maintain that low size, use a resolution that does not exceed 300 dpi. 

Additional Information:

IRS: Instructions for Schedule D

IRS: Instructions for Form 8949

IRS: Publication 550

IRS: Instructions for Form 1099-B Proceeds From Broker and Barter Exchange Transactions