RSU Sale on Etrade - Why Aren't Stock Sale Tax Withholdings Showing Up on W2?

This is actually normal and happens to a lot of people with RSUs. The withholding from your RSU sale isn't reported on your W2 because it's considered a separate transaction from your employment income. When Etrade withheld that $93k, they should have sent it to the IRS as estimated tax payments on your behalf. You need to look for a Form 1099-B from Etrade that will show the proceeds from your stock sale. However, the 1099-B typically doesn't show the withholding either. To find the withholding amount, check your Etrade account for a "Proceeds from Vesting" statement or similar document. They should provide year-end tax documents that show the withholding. Some companies also provide a supplemental statement explaining the RSU taxation. When you file your taxes, you'll need to report both the income from the W2 and the stock sale, but you'll also get credit for ALL withholding - both from your regular paychecks and from the RSU sale.

I literally went through the same nightmare last year with my RSUs and it was so frustrating until I found taxr.ai at https://taxr.ai - it actually specializes in finding "hidden" withholdings like this. My situation was almost identical - sold about $250k in RSUs, Etrade withheld around $75k, but my W2 showed nothing about it. I uploaded my Etrade statements and W2 to taxr.ai and it immediately identified the missing withholding and showed me exactly where to report it on my tax return. It even gave me a detailed explanation of how RSU taxation works that I could understand. The best part was that it analyzed all my trade confirmations and found some wash sales I would have missed completely. If you're doing any kind of stock transactions beyond simple buy and hold, it's definitely worth checking out.

I tried taxr.ai after seeing it mentioned here and wow, it actually solved my RSU nightmare! After uploading my Etrade documents and W2, it immediately showed me that my company had reported the RSU income on my W2 (Box 1), but the withholding amount ($87k in my case) was sent separately to the IRS as an estimated payment. The tool generated a detailed report showing exactly where my withholding went and how to properly report it on my tax return. It even explained that Etrade reports the gross proceeds on Form 1099-B, but doesn't include your cost basis correctly for RSUs, which would have caused me to pay double tax on that income! I was honestly about to pay an accountant $750 to figure this out, but the tool sorted everything in about 15 minutes. The report it generated will be perfect documentation if I ever get audited too. Definitely recommend for anyone dealing with RSUs or stock compensation.

If you've tried getting answers from Etrade without success, you might want to try calling the IRS directly. I know it sounds terrible, but I had a similar issue last year and actually managed to speak with someone who confirmed my withholding amount. The catch is actually getting through to them - I tried for three days and kept getting disconnected. Then I found this service called Claimyr at https://claimyr.com that helped me get through the IRS phone maze. They have a demo video at https://youtu.be/_kiP6q8DX5c that shows how it works. Basically, they wait on hold with the IRS for you and call you when an agent picks up. I was skeptical but desperate after wasting hours on hold. Got a call back in about 45 minutes with an IRS agent on the line who confirmed that yes, my brokerage had submitted the withholding separately from my W2, and gave me the exact amount to claim on my return.

I owe everyone here an apology - I was totally wrong about Claimyr. After posting that skeptical comment, I was still desperate for answers about my missing RSU withholdings ($127k that wasn't on my W2), so I decided to try it anyway. The service actually worked exactly as described. I put in my number, and about 37 minutes later I got a call connecting me to an actual IRS representative. The agent was able to pull up my tax account and confirm that my company had submitted the withholding as a separate payment. She gave me the exact amount and date it was received. This saved me thousands in potential tax issues - I was about to file without claiming that withholding because I couldn't find documentation anywhere. The IRS agent even emailed me confirmation that I could use for my records. I've been trying to get this information for weeks and resolved it in under an hour. If you're dealing with missing RSU withholdings, definitely worth trying to get official confirmation from the IRS.

I work in corporate accounting and want to add some context on why this happens. When you receive RSUs, there are usually two separate withholding processes: 1. Your employer withholds on the RSU value at vesting (income tax withholding) - this usually DOES appear on your W2 2. Your brokerage withholds on the sale transaction (capital gains withholding) - this usually does NOT appear on your W2 It sounds like your situation might involve the second type. Check if the amount withheld was exactly 22% of the sale proceeds, as that's the standard backup withholding rate for brokerages. Also, look for Form 1099-B and Form 1099-MISC from Etrade, as sometimes the withholding is reported there, though not always clearly labeled.

Don't forget to check your last paystub of the year! I had this exact issue and was freaking out until I compared my final paystub with my W2. In my case, the RSU withholding showed up on my final paystub in a separate section called "YTD Other Taxes" but wasn't properly transferred to my W2. I brought this to my company's payroll department and they issued a corrected W2 that included all withholdings. Apparently this is a common payroll system error with RSUs.

This is such a common and frustrating issue with RSUs! I went through something very similar last year. Here's what I learned from my experience: The $93k withholding should definitely be credited to your tax account - it's not lost money. The issue is finding the proper documentation. In addition to what others have mentioned, check these specific places: 1. **Form 1099-B from Etrade** - Look in Box 4 for "Federal income tax withheld." Sometimes it's there but easy to miss. 2. **Your company's stock plan portal** - Many companies use platforms like Schwab, Fidelity, or E*TRADE for RSUs. Log into the actual stock plan site (not just your regular brokerage account) and look for year-end tax documents. 3. **Supplemental W2 or separate tax statement** - Some companies issue a separate document for stock compensation withholdings. The key thing to remember is that this withholding gets reported to the IRS under your SSN, so when you file your return, you'll get credit for it even if you can't find the exact paperwork. However, having the documentation makes everything much smoother. If you still can't locate it after checking these sources, definitely contact both your company's HR department and Etrade. They're required to provide this information for tax purposes.

This thread has been incredibly helpful! I'm dealing with a similar RSU situation and want to share another resource that might help others. If you're still having trouble locating your withholding documentation after checking all the sources mentioned above, consider reaching out to your company's stock plan administrator directly. Many large companies use third-party administrators like Merrill Lynch, Morgan Stanley, or Computershare to handle their equity compensation plans. These administrators often have dedicated tax support teams that can provide detailed breakdowns of all withholdings and transactions. They can also explain exactly how your specific plan handles tax withholdings - whether it's done through payroll, through the brokerage, or a combination of both. I learned this the hard way after spending weeks trying to reconcile my RSU taxes. One call to the stock plan administrator and they provided a comprehensive tax package that showed every withholding, the dates they were remitted to the IRS, and exactly how to report everything on my tax return. Also worth noting: if your RSUs were granted over multiple years but vested in the same tax year, the withholdings might be spread across different reporting mechanisms, which can make tracking them down even more complex.

This thread has been a goldmine of information! As someone who just started receiving RSUs this year, I'm taking notes for when I face this situation next tax season. One thing I want to add that might help others - if you're proactive, you can actually track this throughout the year rather than scrambling at tax time. I set up a simple spreadsheet after my first RSU vesting where I record: - Date of vesting - Number of shares vested - Fair market value at vesting - Shares sold for taxes - Amount of tax withholding - Where the withholding was reported (W2, separate document, etc.) This way I can reconcile everything quarterly and catch any reporting issues early. My company's HR department actually recommended this approach after they had several employees run into similar documentation problems. Also, for anyone just starting to receive RSUs - ask your HR team upfront how tax withholdings are handled and what documents you should expect. Different companies have surprisingly different processes, and knowing what to expect can save a lot of stress later. Thanks to everyone who shared their experiences and solutions. This is exactly the kind of practical advice that's hard to find elsewhere!

As someone who's been through the RSU tax maze multiple times, I want to emphasize something that hasn't been mentioned much in this thread: timing matters a lot for finding your documentation. If your RSUs vested and were sold in the last quarter of the tax year (October-December), there's often a delay in how the withholding gets processed and reported. I had RSUs vest in November, and the withholding didn't show up in any of my year-end documents until January when the brokerage issued corrected forms. Also, here's a practical tip that saved me: create a dedicated email folder for all RSU-related communications from your employer and brokerage. Throughout the year, you'll get various notifications about vestings, sales, and tax events that might seem unimportant at the time but become crucial during tax season. The other thing I learned is that if you have RSUs from multiple employers (either from job changes or if you're consulting), each company's process can be completely different. What works for tracking Company A's RSUs might not work for Company B's, so don't assume the documentation will be in the same place or format. Keep pushing for answers - that $93k withholding is real money that the IRS received, and you're entitled to credit for it on your return. The documentation exists somewhere; it's just a matter of finding the right person or system that has it.

I went through this exact same frustration last year and want to share what finally worked for me. After reading through everyone's suggestions here, I tried multiple approaches before finding my missing $78k in withholdings. What ultimately solved it was a combination of several things mentioned in this thread: 1. **Check your final paystub of the year** - Like Anastasia mentioned, mine showed "Supplemental Tax Withholding" that didn't transfer properly to my W2. 2. **Contact your stock plan administrator directly** - This was key. I called the dedicated RSU support line (not regular HR) and they provided a "Tax Withholding Summary" that clearly showed all amounts remitted to the IRS on my behalf. 3. **Look for Form 945** - This is something no one mentioned yet, but some companies file this form for supplemental withholdings like RSUs. While you won't receive a copy, asking about it helped my HR team locate the correct withholding amounts in their system. The most important thing I learned is that the withholding definitely exists in the IRS system even if your documentation is incomplete. When I finally filed my return claiming the full withholding amount, it was accepted without any issues. For immediate peace of mind while you're still searching for documentation, you can also request a tax account transcript from the IRS (it's free online) which will show all payments made on your behalf, including estimated payments from brokerages. Don't give up - that money was sent to the IRS and you absolutely should get credit for it!

I'm dealing with a very similar situation right now! I had about $85k withheld from my RSU sale through Charles Schwab, but like you, it's nowhere to be found on my W2. Reading through this thread has been incredibly helpful - I had no idea this was such a common issue. Based on what everyone has shared, I'm going to start by checking my company's stock plan portal (separate from my regular Schwab account) and look for that "Tax Center" section that Gabrielle mentioned. I also like the idea of requesting a tax account transcript from the IRS to confirm they actually received the withholding. One thing I'm curious about - has anyone here had success getting a corrected W2 from their employer to include the missing RSU withholdings? It seems like that would be the cleanest solution if the withholding was supposed to be on the W2 in the first place, rather than having to hunt down separate documentation or report it on different tax forms. This thread is a goldmine of practical advice that you just can't find in generic tax guides. Thanks to everyone who shared their experiences!