Stock Distribution Tax Question

[D M G]

I have a question regarding the 2003 stock distribution. I know that it was issued at $7.34 / share and I sold it in 2004 so I don't show my loss until next year's taxes.

How do we show the distribution for the 2003 tax season. I was given XXX amount of shares, and they withheld XX amount for taxes. Where do I show the taxes that I paid for this distribution (what form) on my 2003 tax forms since it gives dollar amounts for Fed, Fica, State, SUI, and Local withholding even though this withholding was in the form of shares I never received. I was expecting a W-2 for the distribution but never got one. The Fed rate they taxed me at was 25%, so shouldn't I be due some of that money back since I'm not in that high of a tax bracket?

Thanks in advance for any help.

 

[BoeingBoy]

D M G,

Info gleened from here and there. As the saying goes "Seek advice from your tax advisor".

The value of the stock vested last July should show up as income on a paycheck - for the pilots it seems to be the Oct 30 check but could be different for other work groups. The taxes (from the stock withheld) should be on the same check.

So, if everything worked the way it was supposed to, your W-2 should be correct for both income and taxes withheld.

As you so correctly said, if you sold the remaining shares this year, you won't show the capital gain/loss till you do you '04 taxes next year.

Hope this helps

Jim

 

[D M G]

The value of the stock vested last July should show up as income on a paycheck - for the pilots it seems to be the Oct 30 check but could be different for other work groups. The taxes (from the stock withheld) should be on the same check.

Thanks for the response Jim. I went through every pay stub for 2003 and it wasn't on any. My Federal tax withheld shown on my W-2 matches my final pay stub, and since the distribution wasn't shown on any stubs I figured I'd get another W-2 (or 1099) for the stock.

Thanks again for your help.

 

[BoeingBoy]

D M G,

As I understand it, there is no "line item" that shows the extra income and taxes on the check stub. What I've heard is that you have to look for an increase in the earnings to date from one check to the next and see if there is a larger jump than their should be based on your "normal" income for that pay period. Depending on how many shares you got, the difference might not jump out at you.

I'd try last half of Oct and first half of Nov first to see if you can find it. If you still don't see it, let me know. Seems like I saw the phone number somewhere for the department that handles it.

Jim

 

[D M G]

As I understand it, there is no "line item" that shows the extra income and taxes on the check stub.

Found it, thanks a million Jim.

It was in my check that had a 'date of deposit' of 9/19/03, and was not shown as a line item as you said. Since my check amounts vary a lot from pay to pay I missed the small difference in the YTD Gross earnings. I only make sure that my Gross pay is correct for each pay period, and have never added them togther to make sure it matched the YTD Gross.

Again, many thanks.

 

[BoeingBoy]

D M G,

My pleasure. (Note to self - get started on those taxes soon)

Jim