Form 8949 Code Lookup
Pick a Form 8949 column (f) adjustment code and see the IRS description, when you'd actually use it, and a worked numeric example — plus links to the deeper guides when you need them.
Column (f) on Form 8949 accepts a letter — or a combination like BW or TO — telling the IRS why the numbers differ from what the broker reported.
Column (f) code
Wash sale loss disallowed
IRS description
You have a nondeductible loss from a wash sale. Enter the amount of the disallowed loss as a positive adjustment in column (g).
When to use it
You sold a security at a loss and bought the same (or substantially identical) security within 30 days before or after the sale. The IRS disallows the loss — you can't use it to offset gains this year, but the disallowed amount is added to the basis of the replacement shares.
Worked example
Sold AAPL for $9,000 (basis $10,000) = −$1,000 loss. Rebought AAPL 20 days later. Code W in column (f), +$1,000 in column (g). Net gain/loss on this row: $0.
Column (f) code
Basis reported to IRS is incorrect
IRS description
Cost or other basis is incorrect. Report the transaction on Form 8949 and enter the correct basis-adjustment amount in column (g).
When to use it
Most common case: RSU or ESPP sales where the broker reported a low or zero basis because it can't include the compensation income already on your W-2. You correct to the true cost basis so you aren't taxed twice on the same dollars.
Worked example
RSU vested at $50/share ($50,000 compensation on W-2). Sold at $55/share for $55,000. Broker reports basis $0. Code B in (f), adjustment −$50,000 in (g). Real gain: $5,000 (not $55,000).
Column (f) code
Holding period classification is incorrect
IRS description
Broker-reported short-term/long-term classification is wrong. Report the transaction in the correct Form 8949 box and use code T.
When to use it
Rare — happens when brokers mis-track acquisition dates after transfers, corporate actions, or partial exercises. You file the row in the correct box (A vs D or B vs E) and flag the override with Code T.
Worked example
Broker reported a sale as short-term (Box A), but the true acquisition date was 14 months ago. Move the row to Box D, Code T in (f), $0 in (g) — dollars don't change, only the classification.
Related guides
Column (f) code
Nominee — you received the 1099-B but didn't own the asset
IRS description
You received a 1099-B as a nominee for the actual owner. Report the sale and use Code N to allocate the income.
When to use it
UTMA/UGMA custodial accounts where the 1099-B is issued to the custodian but the minor owns the asset; joint accounts where only one holder gets the 1099-B. You allocate the piece that isn't yours with Code N (and issue a 1099-B to the real owner).
Worked example
Joint account sold stock for $10,000 proceeds, $8,000 basis, $2,000 gain. Only your half is yours. Code N in (f), −$1,000 in (g) to zero out the co-owner's half on your return.
Related guides
Column (f) code
Sale of main home — exclude qualifying gain
IRS description
You sold your main home at a gain and can exclude some or all of it under the §121 exclusion ($250K single / $500K married filing jointly).
When to use it
You sold your primary residence and meet the ownership + use tests (2 of last 5 years). Report the sale and exclude the qualifying gain with Code H.
Worked example
Sold home for $700,000 (basis $300,000) = $400,000 gain. Married filing jointly — exclude $500,000. Code H in (f), −$400,000 in (g). Reported capital gain: $0.
Column (f) code
Accrued market discount on a debt instrument
IRS description
You recognized accrued market discount as ordinary income on a bond or debt instrument; adjust the capital gain/loss portion accordingly.
When to use it
Bond-specific. You bought a bond at a discount and held to maturity (or sold). Part of your gain is ordinary income (the accrued market discount), not capital gain. Code D adjusts the capital-gain portion of the sale on Form 8949.
Worked example
Bought bond for $9,500, sold for $10,200. $500 of the $700 gain is accrued market discount (ordinary income, reported on Schedule B). Code D in (f), −$500 in (g). Capital gain: $200.
Column (f) code
Qualified Small Business Stock (QSBS) — §1202 exclusion
IRS description
You sold Qualified Small Business Stock held more than 5 years and qualify for the §1202 exclusion.
When to use it
You held C-corp stock in a qualifying small business (gross assets ≤ $50M when you acquired it) for at least 5 years. §1202 lets you exclude 50–100% of gain depending on when you bought it. Code Q flags the exclusion.
Worked example
Sold QSBS for $10M (basis $100K) = $9.9M gain. 100% exclusion (acquired after Sept 2010). Code Q in (f), −$9.9M in (g). Reported gain: $0.
Column (f) code
Qualified Opportunity Zone (QOZ) investment — gain deferral
IRS description
You elected to defer capital gain by investing the proceeds in a Qualified Opportunity Fund within 180 days.
When to use it
You sold an asset at a gain and rolled the gain into a QOZ fund. The gain is deferred until 2026 (or when you sell the QOZ investment, whichever comes first). Code X flags the deferral on the triggering sale.
Worked example
Sold stock at $500K gain. Invested $500K into a QOZ fund 60 days later. Code X in (f), −$500K in (g). Reported gain this year: $0 (deferred).
Column (f) code
Rollover gain on empowerment zone asset
IRS description
You elected to postpone gain from the sale of an empowerment zone asset by reinvesting in a qualified replacement asset.
When to use it
Rare. Applies to assets located in designated empowerment zones sold before these rules expired. Gain is rolled into a replacement zone asset within 60 days.
Worked example
Sold empowerment zone business stock at $50K gain. Reinvested in qualifying asset 30 days later. Code R in (f), −$50K in (g).
Column (f) code
Nondeductible loss (related party or personal use)
IRS description
You have a nondeductible loss — typically from a sale to a related party or sale of personal-use property.
When to use it
You sold a personal-use asset (car, vacation home, collectible you used) at a loss — the IRS disallows those. Or you sold to a related party (family, controlled entity). Code L disallows the loss.
Worked example
Sold personal vehicle for $8,000 (basis $20,000) = −$12,000 loss. Personal-use property — loss is disallowed. Code L in (f), +$12,000 in (g). Reported loss: $0.
Column (f) code
Selling expenses or option premium not reflected
IRS description
Your 1099-B proceeds or basis didn't include commissions, fees, or option premiums; adjust via column (g).
When to use it
Broker reported gross proceeds without subtracting selling commissions, or cost basis didn't include purchase commissions. Also used when an option premium should reduce basis or increase proceeds.
Worked example
Sold stock for $10,000 gross. Broker charged $50 commission (not netted). Code E in (f), −$50 in (g). Real proceeds: $9,950.
Column (f) code
Section 1244 small business stock ordinary loss
IRS description
You have a loss on §1244 small business stock that qualifies for ordinary-loss treatment (up to $50K single / $100K MFJ).
When to use it
You held qualifying §1244 stock (small C-corp, first $1M of stock issued) and sold at a loss. Loss is ordinary (not capital) up to the limit — a better tax outcome than capital loss limits.
Worked example
Lost $40,000 on §1244 stock. Code S in (f), adjustment per §1244 rules. Up to $50K (single) flows as ordinary loss on Schedule 1, not capped at the $3,000 capital-loss limit.
Column (f) code
Collectibles — 28% rate gain
IRS description
You have a collectibles gain subject to the 28% maximum rate (art, coins, antiques, precious metals).
When to use it
You sold a collectible held more than 1 year. Long-term gain is taxed at a 28% max rate, higher than the normal LTCG rates. Code C flags the row so the Schedule D tax worksheet applies the 28% rate.
Worked example
Sold gold coin for $5,000 (basis $2,000) = $3,000 gain held 3 years. Code C in (f), no column (g) adjustment. Schedule D routes this into the 28% rate bucket.
Column (f) code
Any other adjustment (catch-all)
IRS description
Catch-all for adjustments not covered by other codes. Attach an explanation statement.
When to use it
Used when none of the other codes fit — corrected 1099-B received late, partially worthless security, a broker's error you're correcting by hand. You must attach a statement explaining the adjustment.
Worked example
Broker reported wrong proceeds by $150. Code O in (f), +$150 in (g). Attach a statement: "1099-B overstated proceeds by $150; corrected per trade confirmation."
Related guides
Column (f) code
Multiple transactions reported as totals (summary entry)
IRS description
You reported multiple transactions as a single summary line instead of line-by-line.
When to use it
For Box A / Box D (covered, basis reported) rows without adjustments, the IRS lets you skip Form 8949 entirely and enter totals on Schedule D. If you do use Form 8949 anyway with a summary line, Code M flags it as a summary entry.
Worked example
Schwab 1099-B covered lots, 200 trades, $150,000 proceeds, $140,000 basis, $10,000 gain — all short-term Box A. One line with Code M in (f), totals in (d)(e)(h).
Related guides
Combining codes
The IRS accepts multi-letter combinations when more than one adjustment applies to the same row. Most common combos:
- BW — basis wrong and wash sale on the same lot (common with RSU losses that then trigger a wash sale in the next vest window).
- TO — wrong holding period plus an "other" adjustment with an attached explanation.
- EL — selling-expense adjustment on a nondeductible loss (related-party or personal-use sale).
For every combination and the order rules, see the complete Form 8949 adjustment-codes reference.
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Form 8949 CSV validatorForm 8949 Codes FAQ
What is Form 8949 column (f)?
Column (f) on Form 8949 holds a one- or two-letter code that tells the IRS why you're adjusting the numbers on this row from what the broker reported. The dollar amount of the adjustment goes in column (g). If column (f) is blank, no adjustment is made and column (g) should also be blank or zero.
When do I use code B vs code T?
Code B adjusts the cost basis (the dollar amount the broker reported was wrong). Code T changes the holding-period classification (the broker marked it short-term but it was long-term, or vice versa) without changing any dollars. If both apply, use BT.
What is Form 8949 code W?
Code W means the loss on this row was disallowed under the wash-sale rule (IRC §1091) because you bought a substantially identical security within 30 days before or after the loss sale. You enter the disallowed amount as a positive number in column (g) so the loss nets to zero on this row.
Can I combine Form 8949 adjustment codes?
Yes. The IRS accepts multi-letter combinations like BW (basis wrong + wash sale), TO (wrong holding period + other), or EL (selling expense + nondeductible loss). Put them in column (f) without spaces.
Do I have to use Form 8949 for every transaction?
No. For covered lots (Box A or D) with no adjustments, the IRS lets you skip Form 8949 and enter totals directly on Schedule D line 1a (short-term) or 8a (long-term). If any row has an adjustment code (W, B, T, etc.), that row must be on Form 8949 line-by-line.