Your “tax problem” isn’t tax at all — it’s missing PDFs. These 5 files stop RSU cost basis errors and W-2/1099 mismatches before they start, so you don’t pay tax twice.

Summary of What This Blog Covers

The five files that stop RSU cost basis errors and W-2/1099 mismatches before they start
Where each document lives, what it proves, and how to name it so you can find it in three seconds
Step-by-step tie-outs and 1099-B adjustments that keep you from paying tax twice

1. W-2 (Proof of Compensation Income)

Shows RSU vesting or option exercise as ordinary income (Box 1). Proves amount included in AGI. Save from employer or payroll provider. Name: W2_YYYY_Employer.pdf.

2. 1099-B (Sales Reporting)

Reports proceeds from stock sales (Box 1d). Often shows basis as $0 for RSUs. Save from broker (Fidelity, Schwab). Name: 1099B_YYYY_Broker.pdf.

3. Vesting Schedules (FMV at Vest)

Proves fair market value (FMV) on vesting date for RSU basis. From equity portal or employer. Name: RSU_VestingSchedule_YYYY.pdf.

4. Option Exercise Records (Strike, FMV, 83(b), 3921/3922)

For NQOs/ISOs: exercise date, strike price, FMV, shares, 83(b) election if early exercise. Forms 3921 (ISO) or 3922 (NQO). Name: OptionExercise_YYYY_Date.pdf.

5. Trade Confirmations (Lot-Level Detail)

Per-sale confirmations with date, shares, price, proceeds. Essential for specific identification of basis. From broker statements. Name: TradeConfirmation_YYYY_Date.pdf.

Step-by-Step Tie-Outs & 1099-B Adjustments

1. Tie W-2 income to vesting/exercise amounts.
2. Calculate basis per share (FMV at vest/exercise).
3. Adjust 1099-B basis on Form 8949 (Column g).
4. Report gain/loss on Schedule D.
5. Document lot selection (FIFO/specific ID).

RSU & Stock Option Document Checklist (copy-paste)

☐ W-2 saved & income tied to vesting/exercise
☐ 1099-B saved & basis adjustments calculated
☐ Vesting schedules with FMV per date
☐ Option exercise records (3921/3922, 83(b))
☐ Trade confirmations for each sale
☐ Basis spreadsheet updated
☐ Form 8949 adjustments ready

Book an RSU & Stock Option Basis Check

Insogna ties W-2 income to sales, computes RSU cost basis, and prepares Form 8949 1099-B adjustments so you don’t pay tax twice. Get a labeled, audit-ready folder you can reuse every year. Whether you searched “tax preparer near me,” “Austin Texas CPA for RSU filing,” or “tax accountant near me,” book today and avoid double taxation.

Frequently Asked Questions

1) Why does 1099-B show $0 basis for RSUs?

Brokers report proceeds only. Basis (FMV at vest) is your responsibility — adjust on Form 8949.

2) What is an 83(b) election?

Elects to pay tax on restricted stock/options at grant (not vest). Locks in lower basis if value rises.

3) FIFO vs specific ID — which for sales?

FIFO = first in, first out. Specific ID = choose lots (optimizes gains/losses). Document selection.

4) How to avoid double taxation?

Tie W-2 income to basis on 1099-B adjustment. Keep vesting/exercise docs to prove FMV.

5) When to get help?

Multiple vests/exercises, complex lots, or AMT concerns. Book before year-end for clean filing.

What 5 Documents Should You Have Ready to Avoid Double Taxation on RSUs and Stock Options?