asked

I am a CPA with little experience in employee stock option plans. I am working on a return that shows the basis, and supplemental data shows the increase in basis for income. It's an employee stock purchase plan, and I'm reporting income from selling it too soon. I understand that part, but I'm confused about the entire basis being shown in box 12, coded V, not just the bargain element. The basis is 1204, and the box 12 number is *. If I add the 1210 to the 1099, I will get an artificial loss. Fidelity handles the account, and I feel the supplemental numbers they gave us were correct, but I don't understand the box 12 number, coded V. Is it possible they just have the box 12 number as inform?

July 24th, 2023

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