I'm using Schwab actually. They did send a supplemental document showing the cost basis, but it's not formatted in a way that makes it easy to match up with the 1099-B transactions. There are different dates and lot numbers that don't seem to correspond exactly to what's on the 1099. Did you have to do any manual matching or calculations with yours?

Ah Schwab can be tricky with RSUs. Their supplemental document requires some manual work unfortunately. The lot numbers on the supplemental document should correspond to specific grant dates, not necessarily the sale dates on your 1099-B. You'll need to match each sale on your 1099-B with the appropriate lot(s) on the supplemental document. Look for matching quantities and dates that are close together. Sometimes a single sale on the 1099-B might include shares from multiple lots on the supplemental document, which means you'll need to calculate a weighted average cost basis for that transaction.

Not all RSUs have shares withheld for taxes. Some companies give you the full shares and expect you to pay the taxes separately. The OP should check their vesting statements to confirm whether shares were withheld or not before making adjustments.

Yes! This happened to me with a retirement distribution. Had to submit the same explanation and documents twice. Second time I included copies of their own acceptance letter from the first time. Ridiculous waste of everyone's time.

That's so frustrating! I think I'll do what you did and include their previous acceptance letter. I saved everything from last time thankfully. Wonder if this is happening a lot because of their backlog - like the left hand doesn't know what the right is doing. At least I know what documents to send now.

This is really encouraging, thank you! I did include copies of both W-2s and the corrected one with my response. I didn't think to get a letter from my employer though - that's a great idea. I'll reach out to our HR department tomorrow and see if they can provide something on company letterhead explaining the payroll switch. I've been checking my online account but so far no updates. Sounds like I just need to be patient and wait out the 4+ months. Stressful, but at least I know I've done everything right.

Do you use the online version or desktop? I've heard the desktop version is better for military situations because it gives you more control, but it's also more expensive.

I use the online version, but I've used both in the past. The desktop version does give you a bit more control and detailed forms, but honestly for most military situations the online version has worked fine for me. The key is to look carefully at whether you really need the "Deluxe" or "Premier" versions they try to upsell you to. Often the lower-tier version will handle everything you need, especially if you don't have complex investments or rental properties. The military-specific items like combat pay exclusion are actually handled in all versions, even the basic one.

Wait, do they offer this for veterans too or only for those who recently separated? I've been out for 3 years now and didn't know about this.

Do they keep returns forever? I used TurboTax back in 2021 but I can't remember my login info. Is there another way to get copies of old returns?

Most tax software companies keep your returns accessible for about 7 years, though policies vary. If you can't remember your login info, you can usually recover your account through email verification or by contacting customer support. If that doesn't work, you can always request a transcript directly from the IRS through their website. Go to IRS.gov and search for "Get Transcript Online" - this will show you the information from your filed returns, though the format is different from the actual 1040 form.

This is super helpful! Do you know what line number shows total income before adjustments? My scholarship application is asking for that specifically.

Thanks for this tip! I'm going to go through my notice with a fine-tooth comb tonight. Did you just write your explanation in a letter or did you use any specific forms to point out their error?

I wrote a detailed letter explaining the error and referenced specific line numbers from both my return and their notice. I also filled out the response form that came with the CP2000 and checked the box that I disagreed with the notice. The most important thing is to be super specific and include copies (never originals!) of any supporting documents. I highlighted the relevant numbers on each document and created a simple spreadsheet showing how their calculation was incorrect. Making it easy for them to see your point increases your chances of success.

I used TurboTax's CP2000 help last year and thought it was overpriced for what you get. They basically just gave me generic advice I could have found online. For crypto specifically, you might want something more specialized since that's a complicated area.