Justin
Level 1

I have a client who gifted his ESPP shares to a relative instead of selling them.  It's a qualified disposition.  Per the rules, this means he must recognize ordinary income for the gift in the amount of his discount.

His employer already stated this amount will not be included on his W-2.

It must also be reported in Line 1 wages on his 1040.

How do you enter this in ProConnect online?

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