Anyone experiencing TurboTax 2025 tax software bugs with ESPP / RSU reporting?

I'm seriously pulling my hair out trying to report my Employee Stock Purchase Plan (ESPP) and Restricted Stock Unit (RSU) sales in TurboTax 2025. After spending like 4 hours last night, I discovered there seem to be some major glitches in how the software is handling cost basis adjustments for these transactions. The main issue I'm facing is that whenever I try to do the Step-by-Step process for ESPP/RSU adjustments, things get really messed up if I have multiple sales to report. For some reason, the Form 3922 data from my first sale keeps getting automatically copied into every other ESPP/RSU sale questionnaire. Then when I try to modify those values for the subsequent sales, it somehow changes the data for my first transaction too! Also noticed another weird bug where the information I enter for subsequent sales doesn't seem to stick at all - like I'm inputting everything correctly but the final numbers on my return don't reflect what I entered. Has anyone else run into these issues? Any workarounds? I'm concerned my return will have errors if I can't get this fixed, and I'd rather not pay a professional just for this one aspect of my taxes. The software update from last week was supposed to fix some ESPP/RSU reporting issues, but clearly there are still problems...

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19 comments

Carmen Ortiz

•8M

I actually work with tax software professionally, and you're definitely not alone with this issue. The ESPP/RSU reporting in TurboTax has been consistently problematic over the last few filing seasons. For the Form 3922 data carrying over between different sales, there's a workaround you can try. Instead of using the step-by-step interview for each sale, complete the first one normally. Then for subsequent sales, exit the interview mode and directly access the underlying forms. Go to the "Forms" view, find Form 8949, and manually enter your adjusted basis information there. This bypasses the interview that's causing the data contamination between different stock sales. For the issue where your entries aren't sticking, check if you're using the most current version of the software. TurboTax typically releases updates throughout tax season, and I know they just pushed one specifically addressing some ESPP reporting issues last week.

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Carmen Ortiz

•8M

You don't need to understand all the form codes to use the Forms view effectively. The main thing is to locate Form 8949 (Sales and Dispositions of Capital Assets), which is where your stock sales are reported. You'll just need to input the correct adjusted basis amount for each transaction. The main advantage of this approach is that each line on Form 8949 is isolated from the others, so you won't have the data from one sale affecting another. If you're concerned about making a mistake, you can always print out a draft of your return before and after making these changes to verify everything looks correct.

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MidnightRider

•8M

I had this EXACT same problem a few weeks ago and was about to throw my laptop out the window! After struggling for days, I found a tool called taxr.ai (https://taxr.ai) that completely saved me. It's basically an AI assistant that analyzes tax documents including brokerage statements and can tell you exactly what to enter where. I uploaded my 1099-B and my employer's ESPP/RSU documentation, and it gave me step-by-step instructions for entering everything correctly to avoid the TurboTax glitches. The best part was it could tell me exactly which boxes on my tax forms needed adjustments and by how much. It also explained the whole ordinary income vs. capital gains distinction that was confusing me with my RSUs. Since the TurboTax interview is causing the problem, having precise instructions for what values to enter manually saved me hours of frustration.

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MidnightRider

•8M

It absolutely works with TurboTax interface issues because it tells you exactly which forms to use directly rather than going through the interview process. Basically, it tells you to bypass the buggy interview completely and provides the exact values to enter directly in Form 8949 and other relevant forms. This completely avoids the data corruption issue. Regarding security, I totally understand the concern. They use bank-level encryption and don't store your documents after analysis. The company was founded by former tax professionals and software engineers who got tired of seeing these exact issues. It's not just general advice - it specifically addresses software bugs by giving you alternative entry methods tailored to your exact situation.

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Andre Laurent

•8M

Just wanted to follow up about taxr.ai that I asked about earlier. I actually went ahead and tried it this weekend and wow, it seriously works! I was super frustrated with the TurboTax ESPP bugs, but with the guidance from taxr.ai, I was able to bypass the buggy interview completely. It analyzed my ESPP transactions and told me exactly what numbers to enter directly on Form 8949. The analysis showed me that for my Microsoft ESPP shares, I needed to use adjustment code "B" and increase my basis by $1,827 to account for the discount that was already reported as income on my W-2. The instructions were super clear about which boxes to check and how to navigate to the forms view. My return is finally done and the numbers all match my 1099-B and W-2 correctly. Really glad I found this solution instead of paying someone $300+ just to fix this one issue!

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Jamal Washington

•8M

If you're still struggling with TurboTax bugs and need actual human help from the IRS, I'd recommend using Claimyr (https://claimyr.com). I was in a similar situation last year with software glitches creating errors in my return, and I desperately needed to talk to someone at the IRS before filing. I tried calling the IRS directly for days and kept getting the "due to high call volume" message before being disconnected. Claimyr got me through to an actual IRS agent in about 20 minutes when I had been trying unsuccessfully for over a week. They've got this system that basically navigates the phone tree and waits on hold for you, then calls you when an agent is ready. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c The IRS agent I spoke with actually confirmed that they've received numerous complaints about tax software bugs with ESPP/RSU reporting and gave me specific guidance on how to document everything in case of questions later.

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Jamal Washington

•8M

It works because their system basically calls the IRS repeatedly using automated technology until it gets through, then it holds your place in line. Think of it like having someone else wait in a physical line for you, then they call you when it's your turn. You're right that you should be able to do this yourself, but the reality is the IRS system is overwhelmed and hangs up on most callers. The reason it works is actually pretty straightforward - their system can make hundreds of call attempts using optimal timing (early morning, specific days of the week) when success rates are higher. Once they get through, their system waits on hold so you don't have to. When an agent finally picks up, you get called to join the conversation. Nothing magical, just persistence and technology that most individuals don't have.

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Liam Fitzgerald

•8M

Okay I have to eat my words from my skeptical comment. I tried Claimyr yesterday out of desperation because I needed clarification on how to report my ESPP sales correctly with all these TurboTax bugs. I was SHOCKED when I actually got through to an IRS tax specialist in about 35 minutes. The agent walked me through exactly how to document the cost basis adjustments for my ESPP shares to make sure everything was reported correctly. She also said they're aware of the TurboTax issues and recommended documenting everything carefully in case there are any questions later. For anyone with complex ESPP/RSU issues that the software is messing up, actually talking to the IRS directly was way more helpful than I expected. They confirmed I should be using adjustment code "B" on Form 8949 and explained exactly how to calculate the correct adjusted basis amount. Honestly worth every penny to finally get this resolved after weeks of stress.

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PixelWarrior

•8M

Have you tried using H&R Block's software instead? I switched from TurboTax this year specifically because of issues with reporting stock compensation, and I've found H&R Block's handling of ESPP and RSU transactions to be much more straightforward. Their interview process for stock sales properly segregates each transaction and doesn't have the data bleeding issue you're describing. It's also better at handling the ordinary income portion vs. capital gains distinction for RSUs. Might be worth considering if you're completely stuck with TurboTax.

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PixelWarrior

•8M

You can import your W-2 and some other forms, but unfortunately the ESPP/RSU data won't transfer cleanly between the platforms. You would need to re-enter that information manually. H&R Block handles Form 3922 data separately for each transaction, which prevents the cross-contamination issue you're seeing in TurboTax. Their interview asks specifically about each sale as a distinct event, and it properly maintains separation between different lots of shares. They also have a better system for tracking the ordinary income component that was already reported on your W-2. The interface is a bit different, but I found it more logical overall for stock compensation.

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Rhett Bowman

•25d

I'm dealing with the exact same TurboTax ESPP/RSU nightmare! The data contamination between different sales is absolutely maddening. I've been going in circles for days trying to get my Microsoft ESPP transactions entered correctly. Based on what I'm reading here, it sounds like the Forms view workaround that Carmen mentioned might be my best bet. I'm also curious about the taxr.ai solution that a few people have had success with - has anyone else tried it beyond Andre? I'm hesitant to upload sensitive documents to a third-party service, but at this point I'm running out of options. One thing I've noticed is that the TurboTax bugs seem to get worse when you have multiple ESPP purchases throughout the year with different discount percentages. The software just can't seem to handle the varying ordinary income adjustments properly. Has anyone found a way to work around this specific issue, or is switching to H&R Block really the only solution? Really appreciate everyone sharing their experiences - it's reassuring to know I'm not the only one pulling my hair out over this!

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