overpaid last two years on 1099-B

In 2005 and 2006 I filed 1099-B forms for dividends from shares of my company stock that I sold. The 2005 dividends totaled about $3,500 and

2006 totaled about $1,700.

What I didn't realize until this year was that my company was reporting these dividends to ADP who in turn reported it on my W-2 as part of my Wages/Salary. So, essentially, I double paid on these dividends.

My question is how do I go about recouping this money from Uncle Sam?

Your help is greatly appreciated.

Reply to
g82martin
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It sounds like they aren't dividends, but exercise of options or some sort of employee stock purchase plan. The part of your profit treated as wages adds to your basis in the stock, the sale of which is reported on the

1099-B.

You need to file amended returns for the years in question on Form 1040-X. You'll also need to prepare a correct Schedule D for each year. Make sure you use the right years' forms. All forms are available from

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Reply to
Phil Marti

How come and with whom did you you file a 1099-B? That form shold be sent to you by the financial company. You, as the individual, only report the amounts on Schedule D. Also, dividends are reported in

1099-DIV (which the financial company will also send to you), not 1099- B, and you report the amounts on Schedule B. Dividends happen when you hold a stock that pays dividends, which is a portion of the company's profits.

If you indeed made a mistake, go ahead and file an amended return

1040X. For the explanation, you can use the text "What I didn't realize ...". You typically have 3 years from the date you filed to amend your return.
Reply to
removeps-groups

You as an individual taxpayer do not file a 1099B. A 1099B is filed by a reporting agent to report the sale of stocks or other securities.

You do include the items on the 1099B in the schedule D of your 1040.

Generally, when you get company stock or options, the amount is added to your W2. This generally becomes your basis in the stock sold.

You should consult your own CPA/tax advisor to prepare amended tax returns for you.

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Reply to
Benjamin Yazersky CPA

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