Exclusion of Gain on Qualified Small Business (QSB) Stock

To enter the information for your QSB gain and exclusion (if you need help accessing Form 1099-B, go to our Form 1099-B - Entering Capital Gains and Losses in Program FAQ):

1. From within your Form 1099-B, continue with the interview process until you reach the screen titled Investment Sales - Adjustment Codes, click the dropdown below Other adjustment code, then click Q - Qualified small business stock exclusion.
2. On the screen titled Investment Sales - Adjustment Amount, enter the Adjustment amount.

The TaxAct program will automatically transfer this amount and enter it as a positive number per the previous instructions on the 28% Rate Gain Worksheet. You are responsible for verifying this amount.

To verify the amount:

1. From within your TaxAct return (Online or Desktop), click Federal (on smaller devices, click in the top left corner of your screen, then click Federal).
2. Click the Investment Income dropdown, click the Gain or loss on the sale of investments dropdown, then click Collectibles gain or (loss) (28% Rate Gain Worksheet).
3. Continue with the interview process until you reach the screen titled 28% Rate Gain Worksheet - Schedule D Collectible Gains or Losses, and verify whether the amount entered for Section 1202 exclusion reported on Form 8949 is correct.