You filed with $0 cost basis on RSU sales, accepted an inflated gain, or got a CP2000 — and now you have vest records to fix the return.
Start here
What you need before using this
- Original filed return and acceptance confirmation.
- Corrected or broker supplemental with lot detail.
- confirmations with per share.
- for year showing wages included.
Amendment rules and deadlines follow IRS instructions for each tax year.
Why this happens
Tax software imports $0 basis unless overridden.
People file before reading broker supplemental statements.
CP2000 or refund shock prompts a second look.
Amended returns cannot be e-filed in all cases — paper may be required.
What to check
- Each lot sold: proceeds, corrected basis, gain.
- Whether original return duplicated income on Schedule D.
- State return amendment requirements if applicable.
- Refund or balance due change on 1040-X.
- Three-year amendment window for refunds (general rule — confirm for your year).
Adding vest income again on the amendment
What to check in your documents
- Form 1040-X and corrected Schedule D / 8949.
- PDFs and .
- as originally filed vs corrected.
- CP2000 if one was issued.
Example scenario (hypothetical)
Illustration only, not your tax situation.
Questions people ask
- How long do I have to amend for RSU basis?
- Refund claims generally follow IRS limitation periods for the tax year involved — see Form 1040-X instructions for the year you are amending.
- Will amending trigger an audit?
- Amending to fix documented basis is common. Keep confirmations organized; automated matching may still take time to update.
- TurboTax amend workflow for RSU basis?
- Most software supports amended returns by editing the stock sale basis and filing 1040-X. See taxes in TurboTax guide for basis logic — screen names vary by year.
When to get help from a tax pro
- Multiple years need correction.
- CP2000 deadline overlaps amendment filing.
- State tax differs from federal correction.
Related calculators
Related pages
- How to Adjust RSU Cost Basis
Basis adjustments connect vest wage income to later sales. document FMV from vest records.
- CP2000 Notice for Equity Compensation
CP2000 notices often flag 1099-B proceeds without matching basis — common when RSU sales report $0 cost basis despite vest wages on W-2.
- RSU Taxes in TurboTax
TurboTax can handle RSUs when you import forms in the right order and fix basis before filing.
Sources and notes
Primary tax claims on this page are supported by the official and secondary sources below. Broker and software links describe reporting mechanics — confirm rules against IRS or state guidance.
Correcting Schedule D basis after filing with $0 on 1099-B.
- About Form 1040-X — Amended U.S. Individual Income Tax Return
Internal Revenue Service · Official
Amended return process and limitation periods.
- Instructions for Form 8949 — Sales and Other Dispositions of Capital Assets
Internal Revenue Service · Official
How to report sales when broker-reported basis is incorrect, including adjustment codes.
- Filing taxes for restricted stock, RSUs, or performance awards (tax guide PDF)
Fidelity Stock Plan Services · Brokerage explainer
Explains W-2 vest income, 1099-B with $0 basis, supplemental adjusted cost basis, and Form 8949 reporting.
For learning, not filing
VestingTax.com is not a CPA firm or tax preparer. Grants, employers, and states all differ. Use the cited IRS and state sources above, your own documents, and a qualified tax professional before you make decisions from this guide.