1099-B; Tax on gain or total transaction? Hello,
I had the great pleasure to receive notice from the IRS that I owe ~$2k tax on my 2012 tax return due to not reporting proceeds from sell of mutual funds (1099-B).
I reviewed the information included in the notice and also my statements and it appears that the IRS is saying I need to pay tax on the total value of the transaction rather than just the gain. Seems like I should only owe tax on the gain.
Should I owe tax on the total value of the transaction or only the gain?
For more information;
I sold stock in a mutual fund held in a taxable account and used the money for my 2011 roth IRA contribution.
Thanks
-Sam |