hickeng
commented
8 months ago Supplement is just wrong.
ESPP
- Total Proceeds: cash amount ✅
- Cost basis:
$0❌ - Adjustment amount: share wasn't sold so should be 0 ❌
- Adjusted cost basis: this is the full adjustment amount, which is only a valid basis adjustment for disqualified ESPP shares, and only the last ever lot is disqualified ❌
- Adjusted gain: just
proceeds - incorrect adjusted basisso incorrect inputs mean incorrect outputs ❌
RSU
- Total Proceeds: cash amount ✅
- Cost basis:
$0❌ - Adjustment amount:
Shares Issued * Purchase Value- no basis adjustment for prior dividends or the merger ❌ - Adjusted cost basis: straight copy of the adjustment amount ❌
- Adjusted gain: just
proceeds - incorrect adjusted basisso incorrect inputs mean incorrect outputs ❌
The supplement has subtly different values (cents) for some lots in terms of cash consideration.
Relevant f8937 fragment for how to handle this:
However, looking at the numbers of AVGO received in each lot in eTrade after the fact, the conversion ratio fluctuate between lots. It hovers around 0.52090 but isn't stable at 4dp and that throws off the cash portion at a per lot level vs what eTrade have in the supplement.
Despite the per lot flux, my numbers match the 1099 to the cent for STG.... if you only look at the cash portion. If you use the gain calc from f8937 then their 1099 is overstating my STG by 7.59%.