2024

Instructions for Form 1099-B

Proceeds From Broker and Barter Exchange Transactions

Department of the Treasury

Internal Revenue Service

Section references are to the Internal Revenue Code 

unless otherwise noted.

Future Developments

For the latest information about developments related to 

Form 1099-B and its instructions, such as legislation 

enacted after they were published, go to IRS.gov/

Form1099B.

Reminders

In addition to these specific instructions, you should also 

use the current General Instructions for Certain 

Information Returns. Those general instructions include 

information about the following topics.

• Who must file.

• When and where to file.

• Electronic reporting.

• Corrected and void returns.

• Statements to recipients.

• Taxpayer identification numbers (TINs).

• Backup withholding.

• Penalties.

• The definitions of terms applicable for chapter 4 

purposes that are referenced in these instructions.

• Other general topics.

You can get the general instructions from General 

Instructions for Certain Information Returns at IRS.gov/

1099GeneralInstructions or go to IRS.gov/Form1099B.

Online fillable copies. To ease statement furnishing 

requirements, Copies B, 1, and 2 are fillable online in a 

PDF format available at IRS.gov/Form1099B. You can 

complete these copies online for furnishing statements to 

recipients and for retaining in your own files.

Specific Instructions

A broker or barter exchange must file Form 1099-B for 

each person:

• For whom the broker has sold (including short sales) 

stocks, commodities, regulated futures contracts, foreign 

currency contracts (pursuant to a forward contract or 

regulated futures contract), forward contracts, debt 

instruments, options, securities futures contracts, etc., for 

cash;

• Who received cash, stock, or other property from a 

corporation that the broker knows, or has reason to know, 

has had its stock acquired in an acquisition of control or 

had a substantial change in capital structure reportable on 

Form 8806, Information Return for Acquisition of Control 

or Substantial Change in Capital Structure; or

• Who exchanged property or services through a barter 

exchange.

Qualified Opportunity Funds (QOF)

A QOF is an investment vehicle organized as a 

corporation or a partnership for the purpose of investing in 

qualified opportunity zone property. See section 

1400Z-2(d).

Reporting dispositions of QOF investments. Report 

all dispositions of interests in the QOF regardless of the 

identity of the person who disposed of it. For example, if 

the person is a corporation, you should still file a Form 

1099-B. A disposition includes any disposition of the 

investment (whether or not the disposition is for 

consideration), including by gift or inheritance.

Report each disposition on a separate Form 1099-B, 

regardless of how many dispositions any one person has 

made in the calendar year. The reporting Exceptions 

under Brokers, and the reporting Exceptions under Barter 

Exchanges, later, do not apply to dispositions of interests 

in a QOF. If you are a QOF that is not a broker or barter 

exchange and do not know that a broker or barter 

exchange reported a disposition of an interest in the QOF, 

then complete the following on the form in the manner 

instructed for the respective items and boxes.

• Box 1a. For interests in the QOF, enter the appropriate 

descriptions. For example, for stock, enter the number of 

shares or units; for partnerships, enter the percentage of 

investment.

• Box 1b. Enter the acquisition date of any interest in the 

QOF, if known.

• Box 1c. Enter the date of disposition of any interest in 

the QOF.

• Box 1d. Enter the gross cash proceeds from the 

disposition of any interest in the QOF, if known.

• Box 3. Check the “QOF” box for reporting the 

disposition of an interest in the QOF.

QOFs must furnish a statement to the person who 

disposed of the interest in the QOF investment. For 

additional information on furnishing statements, see part 

M in the current General Instructions for Certain 

Information Returns.

If you are a broker or barter exchange, including a QOF 

that is a broker or barter exchange, complete Form 

1099-B as usual for all dispositions of interests in QOFs. 

Follow the specific instructions for brokers or barter 

exchanges (for example, the reporting of basis for a QOF 

investment that is a covered security). Complete all boxes 

as appropriate, depending on the nature of the interest 

disposed. For example, if the QOF investment is stock, 

you must complete box 1e to report cost or other basis. 

Also, you must check the QOF box in box 3 for all 

dispositions of QOF investments.

Brokers

A broker is any person who, in the ordinary course of a 

trade or business, stands ready to effect sales to be made 

Nov 1, 2023 Cat. No. 64171A
by others. A broker may include a U.S. or foreign person 

or a governmental unit and any subsidiary agency.

You are considered a broker if:

• You are an obligor that regularly issues and retires its 

own debt obligations, or

• You are a corporation that regularly redeems its own 

stock.

However, for a sale, redemption, or retirement at an office 

outside the United States, only a U.S. payer or U.S. 

intermediary is a broker. See Regulations sections 

1.6045-1(g)(1) and 1.6049-5(c)(5).

You are not considered a broker if:

• You are a corporation that purchases odd-lot shares 

from its stockholders on an irregular basis (unless facts 

indicate otherwise),

• You manage a farm for someone else, or

• You are an international organization that redeems or 

retires its own debt. See Regulations section 1.6045-1(a)

(1).

Reporting

How many transactions to report on each form. 

Report each transaction (other than regulated futures, 

foreign currency, or Section 1256 option contracts) on a 

separate Form 1099-B. Report transactions involving 

regulated futures, foreign currency, or Section 1256 option 

contracts on an aggregate basis. However, you may report 

these contracts on an aggregate basis on a separate 

Form 1099-B for each type of contract.

How many forms to file for each transaction. Report 

sales of each of the following types of securities on a 

separate Form 1099-B, even if all three types were sold in 

a single transaction.

• Covered securities (defined later) with short-term gain 

or loss.

• Covered securities with long-term gain or loss.

• Noncovered securities (securities that are not covered 

securities) if you choose to check box 5 when reporting 

their sale.

Closing transactions. In the case of an option, a 

regulated futures contract, a securities futures contract, or 

a forward contract, a sale includes any closing 

transaction. A closing transaction is a lapse, an expiration, 

a settlement, an abandonment, or other termination of a 

position (which includes a right or an obligation under a 

forward contract, a regulated futures contract, a securities 

futures contract, or an option).

Example. For an option that is a covered security, that 

also has a basis of zero in the option upon a closing 

transaction, enter -0- in box 1e.

Substitute statements. Brokers that use substitute 

statements may be able to report customer transactions 

(stock sales (Form 1099-B), interest earned (Forms 

1099-INT and 1099-OID), dividends (Form 1099-DIV), 

and foreign taxes paid (Forms 1099-DIV and 1099-INT)) 

for the year on a single substitute statement. For details, 

see Pub. 1179, General Rules and Specifications for 

Substitute Forms 1096, 1098, 1099, 5498, and Certain 

Other Information Returns, at IRS.gov/Pub1179, which 

provides the rules for substitute forms.

Additional information required for covered securities. For each sale of a covered security for which you are 

required to file Form 1099-B, report the date of acquisition 

(box 1b); whether the gain or loss is short-term or 

long-term, and whether any portion of the gain or loss is 

ordinary (box 2); cost or other basis (box 1e); the amount 

of accrued market discount (box 1f); and the loss 

disallowed due to a wash sale (box 1g). When selling a 

noncovered security and reporting it on a separate Form 

1099-B, you may check box 5 and leave boxes 1b, 1e, 1f, 

1g, and 2 blank. If you check box 5, you may choose to 

report the information requested in boxes 1b, 1e, 1f, 1g, 

and 2 and will not be subject to penalties under section 

6721 or 6722 for failure to report this information correctly.

Example. Your customer Arlo bought shares of stock 

in ABC Corporation in April 2001, April 2023, and August 

2023. The shares of stock bought in 2023 are covered 

securities. The shares of stock bought in April 2001 are 

noncovered securities. In June 2024, Arlo sells all of the 

stock in a single transaction. Even though the stock was 

sold in a single transaction, you must report the sale of the 

covered securities on two separate 2024 Forms 1099-B 

(one for the securities bought in April 2023 with long-term 

gain or loss and one for the securities bought in August 

2023 with short-term gain or loss). You must report the 

sale of the noncovered securities on a third Form 1099-B 

or on the Form 1099-B reporting the sale of the covered 

securities bought in April 2023 (reporting long-term gain or 

loss). You may check box 5 if reporting the noncovered 

securities on a third Form 1099-B. If you check box 5, you 

may leave boxes 1b, 1e, 1f, 1g, and 2 blank or you may 

complete boxes 1b, 1e, 1f (if applicable), 1g (if applicable), 

and 2 and not be subject to penalties under section 6721 

or 6722 for failing to report this information correctly.

Short sales of securities. Do not report a short sale 

entered into after 2010 until the year a customer delivers a 

security to satisfy the short sale obligation, unless there is 

backup withholding. See Backup withholding, later. 

Disregard sections 1259 (constructive sales) and 1233(h) 

(short sales of property that becomes worthless). Report 

the short sale on a single Form 1099-B unless:

• You are reporting both short-term and long-term gain or 

loss from a short sale closed by delivery of covered 

securities (as explained earlier under How many forms to 

file for each transaction),

• The securities delivered to close the short sale include 

both covered securities and noncovered securities (as 

explained earlier under How many forms to file for each 

transaction), or

• There was backup withholding and other conditions 

apply (see Backup withholding, later).

Report on Form 1099-B the relevant information about the 

security sold to open the short sale, with the exceptions 

described in the following paragraphs.

In box 1a, report the quantity of the security delivered to 

close the short sale.

In box 1b, report the acquisition date of the security 

delivered to close the short sale.

In box 1c, report the date the security was delivered to 

close the short sale.

2 Instructions for Form 1099-B (2024)
In box 1e, report the adjusted basis of the security 

delivered to close the short sale.

In box 2, report whether any gain or loss on the closing 

of the short sale is short-term or long-term based on the 

acquisition date of the security delivered to close the short 

sale. Apply section 1233(d), if applicable.

If the short sale is closed by delivery of a noncovered 

security, you may check box 5. In this case, you do not 

have to complete boxes 1b, 1e, 1f, 1g, and 2. However, if 

you choose to report the information in those boxes and 

check box 5, you will not be subject to the penalties under 

sections 6721 and 6722 for failure to report that 

information correctly.

If a short sale obligation is satisfied by delivery of a 

security transferred into a customer's account 

accompanied by a transfer statement indicating the 

security was borrowed, see Regulations section 

1.6045-1(c)(3)(xi)(C).

In the case of a short sale, you can take backup 

withholding either:

• From the gross proceeds when the short sale is 

opened, or

• From any gain when the short sale is closed if you 

expect to be able to determine the gain on the short sale 

at that time.

Backup withholding. If backup withholding was taken 

from the gross proceeds when a short sale was opened in 

2024 but the short sale was not closed by the end of 2024, 

file a 2024 Form 1099-B. Report the tax withheld in box 4. 

In box 1a, enter a brief description of the transaction (for 

example, “$5,000 short sale of 100 shares of ABC stock 

not closed”). Leave the other numbered boxes blank. File 

a final Form 1099-B for the year the short sale is closed, 

as described above, but do not include the 2024 tax 

withheld on that Form 1099-B.

Widely held fixed investment trusts (WHFITs). 

Trustees and middlemen must report the amount of 

non-pro rata partial principal payments (as defined in 

Regulations section 1.671-5(b)(13)), trust sales proceeds 

(as defined in Regulations section 1.671-5(b)(21)), 

redemption asset proceeds (as defined in Regulations 

section 1.671-5(b)(14)), redemption proceeds (as defined 

in Regulations section 1.671-5(b)(15)), the sales asset 

proceeds (as defined in Regulations section 1.671-5(b)

(17)), and the sales proceeds (as defined in Regulations 

section 1.671-5(b)(18)) that are attributable to a trust 

interest holder (TIH) for the calendar year on Form 

1099-B.

To determine the amount of each item of proceeds to 

be reported on Form 1099-B, see, generally, Regulations 

section 1.671-5. If the trustee provides WHFIT information 

using the safe harbor rules in Regulations section 

1.671-5(f)(1) or (g)(1), the trustee or intermediary must 

determine the amounts reported on Forms 1099 under 

Regulations section 1.671-5(f)(2) or (g)(2), as appropriate.

Check box 5 and leave boxes 1b, 1e, 1f, 1g, and 2 

blank if:

• You are a broker reporting the sale of a security held by 

a WHFIT to the WHFIT trustee; or

• You are a trustee or intermediary of a WHFIT reporting 

non-pro rata partial principal payments, trust sale 

proceeds, redemption asset proceeds, redemption 

proceeds, sales asset proceeds, and sales proceeds to a 

TIH.

Requirement to furnish a tax information statement 

to TIH. A tax information statement that includes the 

information provided to the IRS on Form 1099-B, as well 

as additional information identified in Regulations section 

1.671-5(e), must be provided to TIHs. The written tax 

information statement furnished to the TIH for 2024 is due 

on or before March 15, 2025. The amount of an item of a 

trust expense that is attributable to a TIH must be included 

on the tax information statement provided to the TIH and 

is not required to be included in box 5 on the Form 

1099-DIV. See Regulations section 1.671-5(e) for a 

complete list of the items of information that must be 

included in the statement to the TIH.

Acquisition of control or substantial change in capital structure. File Form 1099-B for each customer who 

received cash, stock, or other property from a corporation 

that you know, or have reason to know based on readily 

available information, must recognize gain under section 

367(a) from the transfer of property to a foreign 

corporation in an acquisition of control or substantial 

change in capital structure reportable on Form 8806. 

Readily available information includes information from a 

clearing organization, such as the Depository Trust 

Company (DTC), or from information published on the IRS 

website.

For more information, see Form 8806, available at 

IRS.gov/Form8806.

You are not required to file a second Form 1099-B for a 

customer who received only cash for stock acquired in an 

acquisition of control if you report the cash as proceeds 

from a sale on another Form 1099-B. You are also not 

required to file Form 1099-B for a customer who is an 

exempt recipient (under Regulations section 1.6045-1(c)

(3)(i) or 1.6043-4(b)(5)). For a list of exempt recipients, 

see the current Instructions for Form 1099-CAP.

Enter in box 1d the aggregate amount of cash and the 

fair market value (FMV) of any stock and other property 

received in exchange for stock held in your custody. Also, 

check box 7.

In box 1a, show the corporation's name and the number 

of shares of the corporation's stock you held that were 

exchanged. Also enter the class or classes of stock (for 

example, preferred, common, etc.) that were exchanged, 

whether for cash or other property. Abbreviate the class to 

fit the entry. For example, enter “C” for common stock, “P” 

for preferred, or “O” for other. Also abbreviate any 

subclasses.

Leave the other numbered boxes and the CUSIP 

number box blank unless you are required to file a Form 

1099-B to report proceeds you paid to the customer from 

the acquisition of control or substantial change in capital 

structure and you choose to file and furnish one Form 

1099-B for amounts reported under both Regulations 

sections 1.6045-1 and 1.6045-3. If you choose to combine 

the reporting for both, do not combine other transactions 

the customer may have had during the year with the 

reporting of the acquisition of control or change in capital 

TIP

Instructions for Form 1099-B (2024) 3
structure. Also, in box 1e, report the total basis of the 

customer's stock. Do not enter an amount in box 1e that is 

greater than the amount entered in box 1d.

Cash on delivery account. For a sale of securities 

through a “cash on delivery” or similar account, only the 

broker that receives the gross proceeds from the sale 

against delivery of the securities sold is required to report 

the sale. However, if such broker's customer is a 

“second-party broker” that is an exempt recipient, only the 

second-party broker is required to report the sale.

Foreign currency. If the purchase amount or sales 

proceeds are paid in foreign currency, you must report the 

amount of foreign currency in U.S. dollars. Generally, you 

must determine the reportable amount (other than 

amounts representing accrued interest or original issue 

discount) as of the date you receive, credit, or make the 

payment, whichever applies, at the spot rate or by 

following a reasonable spot rate convention, such as a 

month-end spot rate or a monthly average spot rate. When 

reporting the purchase or sale of a security traded on an 

established securities market, you must determine the 

U.S. dollar amounts to be reported (other than amounts 

representing accrued interest or original issue discount) 

as of the settlement date, at the spot rate or by following a 

reasonable spot rate convention. See Regulations section 

1.6045-1(d)(8).

Generally, payments of foreign currency amounts 

representing accrued interest or original issue discount 

must be translated using the average rate for the interest 

accrual period, although certain customers may elect to 

translate such amounts using the spot rate on the last day 

of the interest accrual period. See Regulations sections 

1.988-2(b)(2) and 1.6045-1(n)(4)(v).

Substitute payments. Do not report substitute payments 

in lieu of dividends and tax-exempt interest on Form 

1099-B. Instead, report these payments in box 8 of Form 

1099-MISC, Miscellaneous Income. See section 6045(d) 

and the Instructions for Forms 1099-MISC and 1099-NEC.

Stock options granted in connection with the performance of services. If an employee, former employee, 

or other service provider, in connection with the 

performance of services, obtains substantially vested 

shares of stock from the exercise of a stock option, and 

sells that stock through a broker on the same day, then the 

broker may not be required to report the sale on Form 

1099-B. For details, see Rev. Proc. 2002-50, which is on 

page 173 of Internal Revenue Bulletin 2002-29 at 

IRS.gov/pub/irs-irbs/irb02-29.pdf.

Partnership sale. Form 8308, Report of a Sale or 

Exchange of Certain Partnership Interests, does not have 

to be filed if, under section 6045, a return is required to be 

filed by a broker on Form 1099-B for the transfer of the 

partnership interest.

Exceptions. Brokers are not required to file, but may file, 

Form 1099-B for the following.

1. Sales for exempt recipients, including the following.

a. Charitable organizations.

b. IRAs.

c. Archer MSAs and health savings accounts (HSAs).

d. The United States or any state or a political 

subdivision of the United States or any state.

e. Corporations. However, see Identifying a 

corporation, later, for instructions about how to know 

whether a customer is a corporation for this purpose. Also, 

you must file Form 1099-B for the sale of a covered 

security (defined later) by an S corporation if the S 

corporation acquired the covered security after 2011.

2. Sales initiated by dealers in securities and financial 

institutions.

3. Sales by custodians and trustees, provided the sale 

is reported on a properly filed Form 1041, U.S. Income Tax 

Return for Estates and Trusts.

4. Sales of shares in a regulated investment company 

that is a money market fund.

5. Obligor payments on the following.

a. Nontransferable obligations, such as savings bonds 

or CDs.

b. Obligations for which gross proceeds are reported 

on other Forms 1099, such as stripped coupons issued 

before July 1, 1982.

c. Callable demand obligations issued before January 

1, 2014, that have no premium or discount.

6. Sales of foreign currency unless under a forward or 

regulated futures contract that requires delivery of foreign 

currency.

7. Sales of fractional shares of stock if gross proceeds 

are less than $20.

8. Retirements of book-entry or registered form 

obligations issued before January 1, 2014, if no interim 

transfers have occurred.

9. Sales for exempt foreign persons as defined in 

Regulations section 1.6045-1(g)(1).

10. Sales of Commodity Credit Corporation certificates.

11. Spot or forward sales of agricultural commodities. 

See Spot or forward sales of agricultural commodities, 

later.

12. Some sales of precious metals. See Sales of 

precious metals, later.

13. Grants or purchases of options, purchases due to 

exercises of call options, or entering into contracts that 

require delivery of personal property or an interest therein.

14. Sales (including retirements) of short-term 

obligations issued on or after January 1, 2014. However, a 

broker may be required to file a Form 1099-INT for interest 

or original issue discount on a short-term obligation.

15. Sales of digital assets. See Sales of digital assets, 

later.

Identifying a corporation. For sales of covered 

securities (defined later) that were acquired after 2011, 

you cannot rely on Regulations section 1.6049-4(c)(1)(ii)

(A) to tell whether a customer is a corporation. However, 

for sales of all securities, you can treat a customer as an 

exempt recipient if one of the following statements is true.

1. The name of the customer contains the term 

“insurance company,” “indemnity company,” “reinsurance 

company,” or “assurance company.”

4 Instructions for Form 1099-B (2024)
2. The name of the customer indicates it is an entity 

listed as a per se corporation under Regulations section 

301.7701-2(b)(8)(i).

3. You receive a properly completed exemption 

certificate on Form W-9 that shows the customer is not an 

S corporation.

4. You receive a Form W-8 that includes a certification 

that the person whose name is on the form is a foreign 

corporation.

Spot or forward sales of agricultural commodities. 

Agricultural commodities include grain, feed, livestock, 

meat, oil seed, timber, and fiber. A spot sale is a sale that 

results in almost immediate delivery of a commodity. A 

forward sale is a sale under a forward contract. However, 

sales and exchanges of timber for lump-sum payments 

must be reported on Form 1099-S, Proceeds From Real 

Estate Transactions.

Report sales of agricultural commodities under a 

regulated futures contract, sales of derivative interests in 

agricultural commodities, and sales of receipts for 

agricultural commodities issued by a designated 

warehouse on Form 1099-B. A designated warehouse is a 

warehouse, depository, or other similar entity designated 

by a commodity exchange in which or out of which a 

particular type of agricultural commodity is deliverable to 

satisfy a regulated futures contract. Sales of warehouse 

receipts issued by any other warehouse are not 

reportable.

Sales of precious metals. A sale of a precious metal 

(gold, silver, platinum, or palladium) in any form for which 

the Commodity Futures Trading Commission (CFTC) has 

not approved trading by regulated futures contract (RFC) 

is not reportable. Further, even if the sale is of a precious 

metal in a form for which the CFTC has approved trading 

by RFC, the sale is not reportable if the quantity, by weight 

or by number of items, is less than the minimum required 

quantity to satisfy a CFTC-approved RFC.

For example, a broker selling a single gold coin does 

not need to file Form 1099-B even if the coin is of such 

form and quality that it could be delivered to satisfy a 

CFTC-approved RFC if all CFTC-approved contracts for 

gold coins currently call for delivery of at least 25 coins.

Sales of precious metals for a single customer during a 

24-hour period must be aggregated and treated as a 

single sale to determine if this exception applies. This 

exception does not apply if the broker knows or has 

reason to know that a customer, either alone or with a 

related person, is engaging in sales to avoid information 

reporting.

Sales of digital assets. A digital asset is a digital 

representation of value that is recorded on a 

cryptographically secured distributed ledger or any similar 

technology.

For sales of digital assets that are also securities, 

commodities, or other financial instruments, the existing 

rules for reporting on Form 1099-B continue to apply. For 

other digital asset sales that a broker has effected for 

customers, the broker is not required to file a Form 1099-B 

but may voluntarily file a Form 1099-B for each customer 

and will not be subject to penalties under section 6721 or 

6722 for failure to report or furnish the information 

correctly. For rules on penalty relief for voluntary reporting, 

see proposed regulations (REG-122793-19), published 

August 29, 2023.

Exemption certificate. A broker may require an exempt 

recipient to file a properly completed Form W-9, Request 

for Taxpayer Identification Number and Certification, or 

similar form. A broker may treat an exempt recipient that 

fails to do so as a recipient that is not exempt. See part J 

in the current General Instructions for Certain Information 

Returns for more information.

Transfer Statement

Any person that transfers custody of a specified security 

(defined later) to a broker after 2010 (after 2011 if the 

stock is in a regulated investment company, and after 

2014 for certain debt instruments, options, and securities 

futures contracts) must give the broker a written transfer 

statement within 15 days after the date of settlement for 

the transfer.

The transferor must furnish a separate statement for 

each security and, if transferring custody of the same 

security acquired on different dates or at different prices, 

for each acquisition. However, a separate statement is not 

required for:

• Noncovered securities, and

• Securities acquired more than 5 years before the 

transfer for which basis is determined using an average 

basis method.

These rules apply to:

• Any broker,

• Anyone that acts as a custodian of securities in the 

ordinary course of a trade or business,

• Any issuer of securities,

• Any trustee or custodian of an individual retirement 

plan, or

• Any agent of the above.

These rules do not apply to:

• The beneficial owner of a security or any agent 

substituted for an undisclosed beneficial owner,

• Any governmental unit or any agency or instrumentality 

of a governmental unit holding escheated securities, or

• Any organization that holds and transfers obligations 

among members as a service to its members.

Information required. Each transfer statement must 

include:

• Date the statement is furnished;

• Name, address, and telephone number of the person 

furnishing the statement;

• Name, address, and telephone number of the broker 

receiving custody of the security;

• Name of the customer(s) for the account from which the 

security is transferred;

• Account number for the transferring account and, if 

different, the receiving account;

• CUSIP or other security identifier number of the 

transferred security;

• Number of shares or units;

• Type of security (such as stock, debt instrument, or 

option);

Instructions for Form 1099-B (2024) 5
• Date the transfer was initiated and settlement date of 

the transfer (if known); and

• The security's total adjusted basis, original acquisition 

date, and, if applicable, the holding period adjustment 

under section 1091.

For a debt instrument, the following additional 

information is required.

• A description of the payment terms used by the broker 

to compute any basis adjustments under Regulations 

section 1.6045-1(n).

• The issue price.

• The issue date, if different from the original acquisition 

date.

• The adjusted issue price as of the transfer date.

• The initial basis.

• Any market discount that has accrued as of the transfer 

date.

• Any bond premium that has been amortized as of the 

transfer date.

• Any acquisition premium that has been amortized as of 

the transfer date.

• Whether the transferring broker has computed any of 

the information by taking into account one or more 

elections under Regulations section 1.6045-1(n).

• The last date on or before the transfer date that the 

broker made an adjustment for a particular item relating to 

a debt instrument transferred on or after January 1, 2016.

For all option transfers, include the following.

• The date of grant or acquisition of the option, the 

amount of the premium paid or received, and any other 

information required to fully describe the option.

• For the transfer of a Section 1256 option on or after 

January 1, 2016, also provide the original basis of the 

option and the FMV of the option as of the end of the prior 

calendar year.

The adjusted basis, original acquisition date, holding 

period adjustment, and the additional information for a 

debt instrument or option described above are not 

required if the transfer statement identifies the security as 

a noncovered security.

If the names of the customer(s) for the transferring and 

receiving accounts are not the same, the transfer 

statement must also include the name of the customer(s) 

for the account to which the security is transferred. 

However, if the transfer is to or from an account for which 

a broker, custodian, or other person subject to the transfer 

reporting rules is the customer, the transfer statement 

must treat the beneficial owner or, if applicable, an agent 

substituted by an undisclosed beneficial owner, as the 

customer for both accounts, and the broker receiving the 

transfer statement should treat the security as held for the 

beneficial owner or the beneficial owner's agent 

regardless of the customer listed for the broker's account.

The person furnishing and the broker receiving the 

transfer statement can agree to combine the information in 

any format or to use a code in place of one or more 

required items. The transferor should determine the 

adjusted basis and other information to be reported as 

explained in these instructions. If the basis of the 

transferred security is determined using an average basis 

method, any securities acquired more than 5 years prior to 

the transfer may be reported on a single statement on 

which the original acquisition date is reported as “various,” 

but only if the other information reported applies to all the 

securities.

Effect on Form 1099-B and other transfer statements. 

In preparing Form 1099-B or a transfer statement for 

securities you transfer to someone else, you must take 

into account all the information (other than securities 

classifications) reported on a transfer statement you 

receive, unless the statement is incomplete or you know it 

is incorrect. If you do not receive a required transfer 

statement by the due date, you must request one from the 

transferor. If a complete transfer statement is not 

furnished, either after you requested one or because no 

transfer statement was required, you may treat the 

security as noncovered. However, you must file a 

corrected Form 1099-B within 30 days of receiving a 

transfer statement indicating that the security is a covered 

security. But you do not have to file a corrected Form 

1099-B if you receive the statement more than 3 years 

after you filed the original Form 1099-B. You must also 

furnish a corrected transfer statement within 15 days of 

receiving a transfer statement indicating that a security is 

a covered security if you transferred the security 

transferred to you. But you do not have to furnish a 

corrected transfer statement if you receive the transfer 

statement more than 18 months after you furnished your 

transfer statement.

More information. For more information about transfer 

statements, including definitions, exceptions, rules for gift 

transfers, transfers from a decedent's estate, and transfers 

of borrowed securities, see Regulations section 

1.6045A-1.

Issuer Returns for Actions Affecting Basis

An issuer of a specified security (defined later) that takes 

an organizational action that affects the basis of the 

security must file an issuer return on Form 8937. This 

applies to organizational actions after 2010 (after 2011 if 

the stock is in a regulated investment company, and after 

2013 for debt instruments, options, and securities futures 

contracts). The return is due on or before the 45th day 

following the organizational action or, if earlier, January 15 

of the next calendar year.

An issuer is not required to file this return if, by the due 

date, the issuer posts the return with the required 

information in a readily accessible format in an area of its 

primary public website dedicated to this purpose and, for 

10 years, keeps the return accessible to the public on its 

primary public website or the primary public website of 

any successor organization. An issuer may electronically 

sign a return that is publicly reported on the issuer’s public 

website. The electronic signature must identify the 

individual who is signing the return.

Effect on Form 1099-B and transfer statements. In 

preparing Form 1099-B or a transfer statement, you must 

take into account all the information reported by the issuer 

of the security on a statement that the issuer furnishes to 

you or is deemed to furnish to you, unless the issuer 

statement is incomplete or you know it is incorrect. Take 

into account only those organizational actions taken by the 

6 Instructions for Form 1099-B (2024)
issuer of the security during the period you held custody of 

the security (beginning with the date on which you 

received a transferred security). If you receive or are 

deemed to receive an issuer statement after filing Form 

1099-B, you must file a corrected Form 1099-B within 30 

days of receiving the issuer statement. But you do not 

have to file a corrected Form 1099-B if you receive the 

issuer statement more than 3 years after you filed the 

original Form 1099-B. If you receive or are deemed to 

receive an issuer statement after furnishing a transfer 

statement for a covered security, you must furnish a 

corrected transfer statement within 15 days of receiving 

the issuer statement. But you do not have to furnish a 

corrected transfer statement if you receive the issuer 

statement more than 18 months after you furnished the 

original transfer statement.

More information. For more information, see Form 8937 

and its instructions, and Regulations section 1.6045B-1.

Barter Exchanges

A barter exchange is any person or organization with 

members or clients that contract with each other (or with 

the barter exchange) to jointly trade or barter property or 

services. The term does not include arrangements that 

provide solely for the informal exchange of similar services 

on a noncommercial basis. Persons who do not contract 

with a barter exchange but who trade services do not file 

Form 1099-B. However, they may have to file Form 

1099-MISC.

Transactional/aggregate reporting. Barter exchanges 

involving noncorporate members or clients must report 

each transaction on a separate Form 1099-B. 

Transactions involving corporate members or clients of a 

barter exchange may be reported on an aggregate basis.

Member information. In the recipient area of Form 

1099-B, enter information about the member or client that 

provided the property or services in the exchange.

Exceptions. Barter exchanges are not required to file 

Form 1099-B for:

1. Exchanges through a barter exchange having fewer 

than 100 transactions during the year,

2. Exempt foreign persons as defined in Regulations 

section 1.6045-1(g)(1), or

3. Exchanges involving property or services with an 

FMV of less than $1.00.

Statements to Recipients

If you are required to file Form 1099-B, you must provide a 

statement to the recipient. For more information about the 

requirement to furnish a statement to the recipient, see 

part M in the current General Instructions for Certain 

Information Returns.

Truncating recipient's TIN on payee statements. 

Pursuant to Regulations section 301.6109-4, all filers of 

this form may truncate a recipient’s TIN (social security 

number (SSN), individual taxpayer identification number 

(ITIN), adoption taxpayer identification number (ATIN), or 

employer identification number (EIN)) on payee 

statements. Truncation is not allowed on any documents 

the filer files with the IRS. A filer's TIN may not be 

truncated on any form. See part J in the current General 

Instructions for Certain Information Returns.

2nd TIN Not. Checkbox

You may enter an “X” in this box if you were notified by the 

IRS twice within 3 calendar years that the payee provided 

an incorrect TIN. If you mark this box, the IRS will not send 

you any further notices about this account.

However, if you received both IRS notices in the same 

year, or if you received them in different years but they 

both related to information returns filed for the same year, 

do not check the box at this time. For purposes of the 

two-notices-in-3-years rule, you are considered to have 

received one notice and you are not required to send a 

second “B” notice to the taxpayer on receipt of the second 

notice. See part N in the current General Instructions for 

Certain Information Returns for more information.

For more information on the TIN Matching System 

offered by the IRS, see the current General 

Instructions for Certain Information Returns.

CUSIP Number

For transactional reporting by brokers, enter the CUSIP 

(Committee on Uniform Security Identification 

Procedures) number of the security or other applicable 

identifying number.

Account Number

The account number is required if you have multiple 

accounts for a recipient for whom you are filing more than 

one Form 1099-B. The account number is also required if 

you check the "FATCA filing requirement" checkbox. See 

FATCA Filing Requirement Checkbox below. Additionally, 

the IRS encourages you to designate an account number 

for all Forms 1099-B that you file. See part L in the current 

General Instructions for Certain Information Returns.

FATCA Filing Requirement Checkbox

Check the box if you are a Foreign Financial Institution 

(FFI) reporting payments to a U.S. account pursuant to an 

election described in Regulations section 1.1471-4(d)(5)

(i)(A). In addition, check the box if you are a U.S. payer 

that is reporting on Form 1099-B as part of satisfying your 

requirement to report with respect to a U.S. account for 

chapter 4 purposes as described in Regulations section 

1.1471-4(d)(2)(iii)(A).

Applicable Checkbox on Form 8949

Use this box to enter a one-letter code that will assist the 

recipient in reporting the transaction on Form 8949 and/or 

Schedule D (Form 1040). Use the code below that applies 

to how the recipient will report the transaction.

Code A. This code indicates a short-term transaction 

for which the cost or other basis is being reported to the 

IRS. Use this code to report a transaction that the 

TIP

Instructions for Form 1099-B (2024) 7
recipient will report on Schedule D (Form 1040), line 1a, or 

on Form 8949 with box A checked with totals being carried 

to Schedule D (Form 1040), line 1b.

Code B. This code indicates a short-term transaction 

for which the cost or other basis is not being reported to 

the IRS. Use this code to report a transaction that the 

recipient will report on Form 8949 with box B checked with 

totals being carried to Schedule D (Form 1040), line 2.

Code D. This code indicates a long-term transaction for 

which the cost or other basis is being reported to the IRS. 

Use this code to report a transaction that the recipient will 

report on Schedule D (Form 1040), line 8a, or on Form 

8949 with box D checked with totals being carried to 

Schedule D (Form 1040), line 8b.

Code E. This code indicates a long-term transaction for 

which the cost or other basis is not being reported to the 

IRS. Use this code to report a transaction that the 

recipient will report on Form 8949 with box E checked, 

with totals being carried to Schedule D (Form 1040), 

line 9.

Code X. Use this code to report a transaction if you 

cannot determine whether the recipient should check box 

B or box E on Form 8949 because the holding period is 

unknown.

Box 1a. Description of Property

For stock and debt instruments, enter the issuer's name 

and the number of shares or units you held that were 

exchanged. For stock, also enter the class or classes of 

stock (for example, preferred, common, etc.) that were 

exchanged, whether for cash or other property. Abbreviate 

the class to fit the entry. For example, enter “C” for 

common stock, “P” for preferred, or “O” for other. Also 

abbreviate any subclasses. For a non-Section 1256 option 

or securities futures contract, enter the name of the 

underlier and the number of shares or units covered by the 

contract.

For bartering transactions, describe the service or 

property provided.

For regulated futures contracts and forward contracts, 

enter “RFC” or other appropriate description.

For Section 1256 option contracts, enter “Section 1256 

option” or other appropriate description.

See Acquisition of control or substantial change in 

capital structure, earlier, for the information to enter in 

box 1a for that type of transaction.

Box 1b. Date Acquired

Enter the acquisition date of any securities sold. Leave 

this box blank if:

• The securities sold were acquired on a variety of dates, 

or

• You check box 5 and do not choose to complete box 1b.

For short sales, see Short sales of securities, earlier.

Box 1c. Date Sold or Disposed

For broker transactions, enter the trade date of the sale or 

exchange. For short sales, see Short sales of securities, 

earlier. For barter exchanges, enter the date that cash, 

property, a credit, or scrip is actually or constructively 

received.

Box 1d. Proceeds

Enter the gross cash proceeds from all dispositions 

(including short sales) of securities, commodities, options, 

securities futures contracts, or forward contracts. Show a 

loss, such as one from a closing transaction on a written 

option or forward contract, as a negative amount by 

enclosing it in parentheses.

You must reduce the proceeds by commissions and 

transfer taxes related to the sale. For securities sold 

because of the exercise of an option granted or acquired 

before 2014, you may, but are not required to, take into 

account option premiums in determining gross proceeds if 

that is consistent with your books. For securities sold 

because of the exercise of an option granted after 2013 or 

for the treatment of an option granted or acquired after 

2013, see Regulations section 1.6045-1(m) for details.

If you reduce gross proceeds by option premiums, 

check the second box in box 6. Otherwise, check the first 

box.

Do not include amounts shown in boxes 8 through 11.

If identical stock is sold at separate times on the same 

calendar day by a single trade order and a single 

confirmation is given that reports to the customer an 

aggregate price or an average price per share, you can 

determine gross proceeds by averaging the proceeds for 

each share. However, do not do this if the customer 

notifies you in writing of an intent to determine the 

proceeds from the sale by the actual proceeds per share 

and you receive that notification by January 15 of the 

calendar year following the year of the sale. You may 

extend the January 15 deadline but not beyond the due 

date for filing Form 1099-B.

Do not include any accrued qualified stated interest on 

bonds sold between payment dates (or on a payment 

date) in this box. Instead, report this accrued interest on 

Form 1099-INT.

For reporting an acquisition of control or substantial 

change in capital structure, see Acquisition of control or 

substantial change in capital structure, earlier.

Box 1e. Cost or Other Basis

Enter the adjusted basis of any securities sold unless the 

security is not a covered security and you check box 5. If 

you check box 5 and are not reporting basis, leave box 1e 

blank. Enter -0- in box 1e only if the securities sold 

actually had a basis of zero.

Covered security. A covered security is any of the 

following.

8 Instructions for Form 1099-B (2024)
• Stock acquired for cash in an account after 2010, 

except stock for which the average basis method is 

available.

• Stock for which the average basis method is available 

and that is acquired for cash in an account after 2011.

• A specified security transferred to an account if the 

broker or other custodian of the account receives a 

transfer statement (explained earlier) reporting the 

security as a covered security.

• Certain debt instruments or options that are specified 

securities acquired for cash in an account after 2013. See 

Regulations section 1.6045-1(a)(15)(i)(C) and (E).

• Certain debt instruments or options that are specified 

securities acquired for cash in an account after 2015. See 

Regulations sections 1.6045-1(a)(15)(i)(D) and 

1.6045-1(m)(2)(ii). This includes variable-rate debt 

instruments; inflation-indexed debt instruments; 

contingent payment debt instruments; convertible debt 

instruments; options on debt instruments with payments 

denominated in, or determined by reference to, a currency 

other than the U.S. dollar; and options issued as part of 

investment units.

• A securities futures contract entered into in an account 

after 2013.

• A security acquired due to a stock dividend, stock split, 

reorganization, redemption, stock conversion, 

recapitalization, corporate division, or other similar action, 

if the basis of the acquired security is determined from the 

basis of a covered security.

Specified security. A specified security is any of the 

following.

• Any share of stock (or any interest treated as stock, 

such as an American Depositary Receipt) in an entity 

organized as, or treated for federal tax purposes as, a 

corporation (foreign or domestic). For this purpose, a 

security classified as stock by the issuer is treated as 

stock. If the issuer has not classified the security, the 

security is not treated as stock unless the broker knows 

that the security is reasonably classified as stock under 

general federal tax principles.

• Any debt instrument, other than a debt instrument 

subject to section 1272(a)(6) (certain interests in or 

mortgages held by a real estate mortgage investment 

conduit (REMIC), certain other debt instruments with 

payments subject to acceleration, and pools of debt 

instruments the yield on which may be affected by 

prepayments), or any short-term obligation. For this 

purpose, a security classified as debt by the issuer is 

treated as debt. If the issuer has not classified the 

security, the security is not treated as debt unless the 

broker knows that the security is reasonably classified as 

debt under general federal tax principles or that the 

instrument or position is treated as a debt instrument 

under a specific provision of the Internal Revenue Code.

• Any option on one or more specified securities (which 

includes an index substantially all the components of 

which are specified securities), any option on financial 

attributes of specified securities, or a warrant or stock 

right.

• Any securities futures contract.

Noncovered security. A noncovered security is any 

security that is not a covered security.

The following securities are not covered securities.

• Stock acquired in 2011 that was transferred in 2011 to a 

dividend reinvestment plan that meets the requirements of 

Regulations section 1.1012-1(e)(6). However, a covered 

security acquired in 2011 and transferred to a dividend 

reinvestment plan after 2011 remains a covered security. 

For purposes of this rule, stock is considered transferred 

to a dividend reinvestment plan if it is held in a plan that is 

not a dividend reinvestment plan and the plan amends its 

plan documents to become a dividend reinvestment plan. 

The stock is considered transferred as of the effective 

date of the plan amendments.

• A security acquired due to a stock dividend, stock split, 

reorganization, redemption, stock conversion, 

recapitalization, corporate division, or other similar action, 

if the basis of the acquired security is determined from the 

basis of a noncovered security.

• A security that, when acquired, did not have to be 

reported on Form 1099-B because it was acquired from 

an exempt recipient or an exempt foreign person as 

defined in Regulations section 1.6045-1(g)(1).

• A security for which reporting is required by Regulations 

section 1.6049-5(d)(3)(ii) (certain securities owned by a 

foreign intermediary or flow-through entity).

• A debt instrument if the terms of the debt instrument are 

not reasonably available to the broker within 90 days of 

the date the debt instrument was acquired by the 

customer and the debt instrument is either a debt 

instrument issued by a non-U.S. issuer or a tax-exempt 

obligation issued before January 1, 2014.

Identification of securities. If the customer has 

acquired securities on different dates or at different prices 

and sells less than the entire position in the security, report 

the sale according to the customer's adequate and timely 

identification of the security to be sold. If no identification 

is provided, report the sale in this order.

1. Any shares for which the acquisition date is 

unknown.

2. The shares that were acquired first, whether they 

are covered or noncovered securities.

Average basis method. Generally, the average basis 

method is available for either of the following types of 

stock if the customer leaves the shares with a custodian or 

agent in an account and acquires identical shares of stock 

at different prices in the account.

• Stock in most mutual funds or other regulated 

investment companies.

• Stock acquired after 2010 in connection with a dividend 

reinvestment plan that meets the requirements of 

Regulations section 1.1012-1(e)(6).

Compute basis using the average basis method if:

• The customer elects that method; or

• You choose the average basis method as your default 

method, and the customer does not give you any other 

instructions.

Generally, determine the average basis of a share of 

stock by dividing the aggregate basis of all shares of 

identical stock in an account by the total number of 

shares, regardless of holding period. However, for this 

purpose, shares of stock in a dividend reinvestment plan 

are not identical to shares of stock with the same CUSIP 

number that are not in a dividend reinvestment plan. The 

Instructions for Form 1099-B (2024) 9
basis of each share of identical stock in the account is the 

aggregate basis of all shares of that stock in the account 

divided by the aggregate number of shares. Unless a 

single-account election is in effect, you may not average 

together the basis of identical stock held in separated 

accounts that is sold, exchanged, or otherwise disposed 

of after December 31, 2011. See Regulations section 

1.1012-1(e) for details.

Adjusted basis. The adjusted basis begins with the 

initial basis (defined later) as of the date the security is 

acquired in an account.

In reporting the adjusted basis, take into account all 

information, other than the classification of the security 

(such as stock), reported on a transfer statement or issuer 

return furnished to you or deemed furnished to you, unless 

that statement or return is incomplete or you know it is 

incorrect. See Transfer Statement and Issuer Returns for 

Actions Affecting Basis, earlier. Also, treat Form 2439 as 

an issuer return and take into account the effects of 

undistributed capital gains reported to you on the form by 

a regulated investment company or real estate investment 

trust.

You are not required to consider other transactions, 

elections, or events occurring outside the account when 

determining basis.

You are also not required to apply section 1259 

(constructive sales), section 475 (mark-to-market method 

of accounting), section 1296 (mark-to-market method of 

accounting for marketable stock in a passive foreign 

investment company), and section 1092 (straddles).

For a debt instrument, see Regulations sections 

1.6045-1(n)(7) and 1.6045-1(n)(11) for the rules to 

determine adjusted basis for a debt instrument acquired at 

a premium or discount.

Initial basis. If a customer paid cash for a security, the 

initial basis is:

1. The total cash paid by the customer or credited 

against the customer's account for the security, plus

2. The commissions and transfer taxes to buy the 

security.

You may, but do not have to:

• Take option premiums into account to determine the 

initial basis of securities acquired by exercising an option 

granted or acquired before 2014, or

• Increase initial basis for income recognized upon the 

exercise of a compensatory option or the vesting or 

exercise of other equity-based compensation 

arrangements granted or acquired before 2014.

You cannot increase initial basis for income recognized 

upon the exercise of a compensatory option or the vesting 

or exercise of other equity-based compensation 

arrangements granted or acquired after 2013. For rules 

related to options granted or acquired after 2013, see 

Regulations section 1.6045-1(m).

You must report the basis of identical stock by 

averaging the basis of each share if:

• The stock was purchased at separate times on the 

same calendar day in executing a single trade order, and

• The broker executing the trade provides a single 

confirmation to the customer that reports an aggregate 

total price or an average price per share.

However, do not average the basis if the customer 

timely notifies you in writing of an intent to determine basis 

by the actual cost per share.

The initial basis of a security transferred to an account 

is generally the basis reported on the transfer statement. If 

a transfer statement indicates that the security is acquired 

as a gift, you must apply the relevant basis rules for 

property acquired by gift in determining the initial basis, 

except you do not have to adjust the basis for gift tax. 

Treat the initial basis as equal to the gross proceeds from 

the sale if:

• Neither gain nor loss is recognized because of the basis 

rules for gift property, or

• The initial basis depends on FMV as of the date of the 

gift and you neither know nor can readily ascertain this 

value.

Short sales. In the case of a short sale, report the 

adjusted basis of the security delivered to close the short 

sale.

Wash sales. If a customer acquired securities that 

caused a loss from a sale of other securities to be both 

nondeductible under section 1091 and the loss was 

reported as a wash sale adjustment on a Form 1099-B for 

the sale at a loss, increase the adjusted basis of the 

acquired securities by the amount of the disallowed loss.

Corporate mergers. Report only the net reduction in 

basis between stock exchanged and stock received when 

reporting the payment of cash paid as part of a corporate 

merger, reorganization, or similar event that is taxable only 

to the extent that cash or property other than stock or 

securities (“boot”) is received and for which no loss can be 

recognized. Enter only the amount of the reduction 

attributable to the amount reported in box 1d. Enter the 

amount as a positive number. However, do not apply this 

rule, and instead report adjusted basis as described 

earlier, for any stock considered to have been redeemed 

or sold, for example, fractional shares of stock resulting 

from the merger that are only paid in cash.

Example. Your customer Adrian buys 100 shares of 

covered stock in MNO Corporation for $5,000 in February 

2024. MNO Corporation merges with PQR Corporation in 

December 2024. The merger is taxable only to the extent 

that boot is received. Adrian receives 100 shares of PQR 

stock with a value of $4,700 and $800 cash boot in 

exchange for his MNO stock. Adrian's resulting basis in 

the PQR stock is $4,700. Report the $800 cash boot in 

box 1d, and report $300 in box 1e to reflect the net 

reduction in basis from $5,000 (for the MNO stock) to 

$4,700 (for the PQR stock).

Box 1f. Accrued Market Discount

Enter the amount of accrued market discount in box 1f.

Box 1g. Wash Sale Loss Disallowed

Wash sales. Report wash sale loss amount disallowed. 

You must report any loss disallowed under section 1091 if 

both the sale and purchase transactions occur in the 

same account with respect to covered securities with the 

10 Instructions for Form 1099-B (2024)
same CUSIP number. You are permitted, but are not 

required, to report in box 1g all loss disallowed under 

section 1091. For example, you may report a disallowed 

loss even though a security is sold in one account and 

repurchased in a different account. Increase the adjusted 

basis of the acquired securities by the amount of the 

disallowed loss reported in box 1g.

You also do not have to apply the wash sale rules if:

• The purchased security is transferred to another 

account before the wash sale,

• The purchased security was purchased in another 

account and later transferred into the account from which 

securities were sold,

• The securities are treated as held in separate accounts, 

or

• The customer has notified you in writing (including in an 

electronic format) that they have made a valid and timely 

mark-to-market election under section 475 and identify the 

account from which the securities were sold as containing 

only securities subject to the election.

For more details, see Regulations section 1.6045-1(d)

(6)(iii).

Example. Your customer Alex buys 100 shares for 

$1,000 in September 2024. In October 2024, he sells 

them for $600. Within 30 days of the sale, he buys 75 

shares with the same CUSIP number in the same 

account. Since his loss is $400 ($1,000 minus $600) but 

the loss on 75 shares is disallowed, his disallowed loss is 

$300. Report the $600 gross proceeds from the sale in 

box 1d, $1,000 basis in box 1e, and $300 wash sale loss 

disallowed in box 1g. The $300 in disallowed loss is 

added to his basis in the newly purchased 75 shares.

Box 2. Type of Gain or Loss

Determine whether the gain or loss is short-term or 

long-term under section 1222, and whether any portion of 

the gain or loss is ordinary. In making the determination, 

you must do the following.

• Consider any information reported on a transfer 

statement.

• Consider any information reported on Form 8937.

• Apply the rules for stock acquired from a decedent.

• Apply the rules for stock acquired as a gift.

• If a customer acquired securities that caused a loss 

from a sale of other securities to be both nondeductible 

under section 1091 and reported in box 5 of a 2013 or 

earlier Form 1099-B (or reported on a 2014 or 2015 Form 

1099-B with code W in box 1f and an adjustment amount 

in box 1g), use the rules in section 1223(3) to determine 

the holding period of the acquired securities.

• In the case of a short sale, report whether any gain or 

loss on the closing of the short sale is short-term or 

long-term based on the acquisition date of the security 

delivered to close the short sale. Apply the rule in section 

1233(d), if applicable.

Except as provided below, in addition to checking the 

applicable short-term or long-term box, you are required to 

check the “Ordinary” checkbox if all or a portion of the 

gain or loss may be ordinary. You may not report both 

short-term and long-term gain or loss on the same Form 

1099-B.

For transactions that are denominated in a currency 

other than the U.S. dollar, brokers must check the 

"Ordinary" checkbox because these transactions may be 

section 988 transactions to the customer. Because a 

customer may make an election to treat gains and losses 

on certain section 988 transactions as capital, the broker 

must also check the short-term or long-term box to 

indicate whether any portion of the gain or loss may be 

short-term or long-term. Brokers are not required to check 

the “Ordinary” checkbox if the security is a market 

discount bond or passive foreign investment company 

stock. Brokers are required to check the “Ordinary” 

checkbox if the security is a contingent payment debt 

instrument subject to the noncontingent bond method.

You are not required to consider other transactions, 

elections, or events occurring outside the account when 

determining whether the gain or loss on the sale is 

short-term or long-term. You are also not required to apply 

holding period-related adjustments under section 1259 

(constructive sales), 475 (mark-to-market method of 

accounting), 1092 (straddles), 1233(b)(2) (short sales), 

1296 (mark-to-market method of accounting for 

marketable stock in a passive foreign investment 

company), 852(b)(4)(A), 857(b)(8), 852(b)(4)(B) 

(regulated investment company and real estate 

investment trust adjustments), and Regulations section 

1.1221-2(b) (hedging transactions).

Box 3. Check if Proceeds Are From Collectibles or 

From a QOF

Check the “Collectibles” box if the proceeds you are 

reporting in box 1d are from a transaction involving 

collectibles. Check the “QOF” box if you are reporting a 

disposition of an interest in a QOF.

Box 4. Federal Income Tax Withheld

Enter backup withholding. For example, persons who 

have not furnished their TIN to you in the manner required 

are subject to withholding on certain amounts required to 

be reported on this form. This is called backup 

withholding. For more information on backup withholding, 

including the rate, see part N in the current General 

Instructions for Certain Information Returns and go to 

IRS.gov/Form1099B.

Use Form W-9 to request the TIN of the recipient. For 

foreign recipients, request the recipient complete the 

appropriate Form W-8. See the Instructions for the 

Requester of Forms W-8BEN, W-8BEN-E, W-8ECI, 

W-8EXP, and W-8IMY.

Box 5. Check if a Noncovered Security

You may check the box if reporting the sale of a 

noncovered security. Do not check this box if reporting the 

sale of a covered security.

If you check this box, you do not have to complete 

boxes 1b, 1e, 1f, 1g, and 2, and you do not have to check 

box 12. If you check box 5 and choose to complete boxes 

1b, 1e, 1f, 1g, and 2, you are not subject to penalties 

Instructions for Form 1099-B (2024) 11
under section 6721 or 6722 for failure to report boxes 1b, 

1e, 1f, 1g, and 2 correctly. If you do not check box 5, you 

are subject to penalties under sections 6721 and 6722 for 

failure to report boxes 1b, 1e, 1f, 1g, and 2 correctly even if 

you are reporting the sale of a noncovered security.

Box 6. Reported to IRS

See Box 1d. Proceeds, earlier.

Box 7. Check if Loss Not Allowed Based on 

Amount in Box 1d

See Acquisition of control or substantial change in capital 

structure, earlier.

Regulated Futures Contracts, Foreign Currency 

Contracts, and Section 1256 Option Contracts 

(Boxes 8 Through 11)—Brokers Only

If you complete boxes 8 through 11, do not complete any 

other numbered box except box 1a and, if applicable, 

box 4. Also, do not complete the “Applicable checkbox on 

Form 8949” box.

Box 8. Profit or (Loss) Realized in 2024 on Closed 

Contracts

Enter the profit or (loss) realized by the customer on 

closed regulated futures, foreign currency, or Section 

1256 option contracts in 2024.

Box 9. Unrealized Profit or (Loss) on Open 

Contracts—12/31/2023

Enter the unrealized profit or (loss) on open regulated 

futures, foreign currency, or Section 1256 option contracts 

at the end of 2023. Do not include amounts related to 

contracts that were open on December 31, 2023, and 

were transferred to another broker during 2024.

Box 10. Unrealized Profit or (Loss) on Open 

Contracts—12/31/2024

Enter the unrealized profit or (loss) on open regulated 

futures, foreign currency, or Section 1256 option contracts 

at the end of 2024.

Box 11. Aggregate Profit or (Loss) on Contracts

Enter the aggregate profit or (loss) for the year from 

regulated futures, foreign currency, or Section 1256 option 

contracts. Use boxes 8, 9, and 10 to figure the aggregate 

profit or (loss). 

Box 12. Check if Basis Reported to IRS

Check this box if:

• You are not checking box 5, or

• You are checking box 5 but are reporting basis to the 

IRS in box 1e anyway.

Box 13. Bartering

Enter the gross amounts received by a member or client of 

a barter exchange. This includes cash received, the FMV 

of any property or services received, and the FMV of any 

trade credits or scrip credited to the member's or client's 

account. However, do not include amounts received by a 

member or client in a subsequent exchange of credits or 

scrip. Do not report negative amounts.

Boxes 14 Through 16. State Information

These boxes may be used by filers who participate in the 

Combined Federal/State Filing Program and/or who are 

required to file paper copies of this form with a state tax 

department. See Pub. 1220 for more information 

regarding the Combined Federal/State Filing Program. 

They are provided for your convenience only and need not 

be completed for the IRS. Use the state information boxes 

to report payments for up to two states. Keep the 

information for each state separated by the dash line. If 

you withheld state income tax on this payment, you may 

enter it in box 16. In box 14, enter the abbreviated name of 

the state. In box 15, enter the filer's state identification 

number. The state number is the filer's identification 

number assigned by the individual state.

If a state tax department requires that you send them a 

paper copy of this form, use Copy 1 to provide information 

to the state tax department. Give Copy 2 to the payee for 

use in filing the payee's state income tax return.

12 Instructions for Form 1099-B (2024)