| | Stock options exercise gains question
Can anyone explain why the gain on your sale of stock after an options exercise appears both on your W-2 in the form of Wages and on your 1099-B as short-term capital gain? My understanding from the administrator of the account (Fidelity) is that this is the first year it is being done like this. Am I wrong or is this double counting? My tax bill is substantially higher than expected and it does not make sense on its face. Thank you in advance.