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Form 1099-B - Summary Totals
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TaxAct® supports the entry of 2,000 Forms 1099-B for capital gain and loss transactions. If the total number of transactions you need to enter is greater than 2,000, it is possible to attach a Summary Totals statement to represent each brokerage statement you received. Instead of entering each of the sales transactions individually in to the TaxAct program, you will list the details of each sale on a statement similar in format to Form 8949. If you choose this option, you will have the ability to attach a PDF of each statement when you electronically file.

The Form 8949 format is similar to the previous Schedule D-1. If attaching a statement along with your return, then that statement should include the following columns:

  • Description of property
  • Date Acquired
  • Date Sold
  • Sales Proceeds
  • Cost or other basis
  • Code, if applicable
  • Adjustment amount, if applicable
  • Gain or Loss

Form 8949 is used in conjunction with Schedule D due to new reporting requirements for capital gain (loss) transactions outlined by the IRS. Now, the taxpayer must differentiate whether or not the transactions had a cost basis reported to them on Form 1099-B. There are six reporting categories:

  • Short-Term:
    • (A) Received a Form 1099-B showing basis was reported to the IRS
    • (B) Received a Form 1099-B showing basis was NOT reported to the IRS
    • (C) Did not receive a Form 1099-B
  • Long-Term:
    • (D) Received a Form 1099-B showing basis was reported to the IRS
    • (E) Received a Form 1099-B showing basis was NOT reported to the IRS
    • (F) Did not receive a Form 1099-B

TaxAct allows up to six Form 8949 attachments to be entered into your tax return to represent each brokerage statement you received. Each Form 8949 attachment will allow you to enter totals for both the taxpayer and spouse for all six reporting categories.  If you have more than six brokerage statements, you would want to enter the six containing the most transactions by this method and then enter the transactions on the other statements via another method (see Enter or Edit Form 1099-B ).

If you are entering totals from a statement you received from your brokerage firm, you must separate and enter the totals based upon the reporting category the transactions fall under for Form 8949. If you have multiple brokerage statements, each brokerage statement totals must be entered separately. You CANNOT combine brokerage statement totals onto one attachment, unless you have already combined these through a third party software vendor. 

If you have already made entries for transactions (Forms 1099-B or 1099-S) in the program, you will need to verify these transactions are NOT included in the statements you plan to include with your return. If your previously entered transactions are listed on the statement you plan to attach with your return, you will need to delete those entries from the program before entering your statement totals.

To review and/or delete these previous entries, follow the steps below:

  1. Click Federal. On smaller devices, click  in the upper left-hand corner, then select Federal.
  2. Click Investment Income to expand the category and then click Gain or loss on the sale of investments
  3. Click Capital gain or loss (Form 1099-B) and on the screen Investment Sales - Summary all transactions will be listed, whether they were entered through the manual Form 1099-B entry section in the Q&A or uploaded from a .CSV file
  4. Click Delete All below the entries (or you can click Delete to the right of only those you wish to delete). Note: If all of the transactions will be reflected on the statements you are going to mail, you would want to choose Delete All.
  5. Click OK to confirm deletion. Note: If you are using the Desktop version of the program, and clicked Delete All, you will click Delete Forms to confirm

Note: If you have a large quantity of transactions listed you may need to scroll down the screen to see the Delete All option. Once you select OK or Delete Forms, the transactions selected will be deleted and the only way to get them back would be to enter them again or re-import the .CSV file.

To enter the information for the Form 8949 attachments:

  1. Click Federal. On smaller devices, click  in the upper left-hand corner, then select Federal.
  2. Click Investment Income to expand the category and then click Gain or loss on the sale of investments
  3. Click Enter totals from a statement of transactions you will attach to your return
  4. Click New Copy of Form 8949 Attachment (Desktop users click Add) to create a new copy of the attached statement or click Review to review a copy already created
  5. On the following screen, check the box, then click Continue
  6. Enter the name of the brokerage firm (e.g. TD Ameritrade, E*Trade) or software vendor (e.g. GainsKeeper, TradeLog, Form8949.com) who supplied you with the attachment and click Continue
  7. You will now enter the summary totals based upon each reporting category:
    • For each reporting category you need to report, click New Copy of Form 8949 Attachment (Desktop users click Add).
    • To review previously entered Summary Total amounts, click Review.
  8. Select the reporting category for the totals you are entering and click Continue.
  9. Enter the summary totals for the reporting category previously select and click Continue
  10. The next screen will show how the information will be reported on Form 8949
  11. Click Continue to enter the information for the next brokerage statement.  If you have more than six brokerage statements, you would want to enter the six containing the most transactions by this method and then enter the transactions on the other statements via another method (see Enter or Edit Form 1099-B ).

Before entering your summary totals, you will need to separate the transactions based upon the reporting category as defined above. 

Note: The Form 1099-B received from your broker may report adjustment amounts to be entered on Form 8949, Column (g). You can enter this information using the Total Adjustment Amount fields.

If filing electronically, you will have the option during the e-file steps to attach your Form 8949 attachment as a PDF. If you do NOT have a PDF version of your Form 8949 attachment, you will still be able to file electronically. After completing the e-file steps, you will be prompted to print Form 8453. On Form 8453 there will be a box marked indicating you have a Form 8949 attachment. You will mail Form 8453 and your Form 8949 attachment to the IRS. If you have multiple Form 8949 attachments and include one of these attachments as a PDF during the e-file steps, you will then only need to mail the Form 8949 attachment that was NOT attached as a PDF. If filing a paper return, you will simply include the Form 8949 attachment(s) along with your tax return. 

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