Instructions for IRS Form 8949 Sales and Other Dispositions of Capital Assets

IRS Form 8949 Sales and Other Dispositions of Capital Assets

This document contains official instructions for IRS Form 8949 , Sales and Other Dispositions of Capital Assets - a tax form released and collected by the Internal Revenue Service (IRS), a subdivision of the U.S. Department of the Treasury. An up-to-date fillable IRS Form 8949 is available for download through this link.

FAQ

Q: What is IRS Form 8949?
A: IRS Form 8949 is used to report sales and other dispositions of capital assets.

Q: When do I need to use IRS Form 8949?
A: You need to use IRS Form 8949 if you sold or disposed of capital assets, such as stocks, bonds, or real estate.

Q: What information do I need to fill out IRS Form 8949?
A: You will need to provide detailed information about each transaction, including the date acquired, date sold, cost basis, and sale proceeds.

Q: How do I report short-term and long-term capital gains on IRS Form 8949?
A: You report short-term capital gains or losses in Part I of the form and long-term capital gains or losses in Part II.

Q: What if I have multiple transactions? Do I need to fill out multiple forms?
A: No, you can report all your transactions on one Form 8949. However, if you have many transactions, you can attach additional schedules.

Q: Is there a deadline for filing IRS Form 8949?
A: Yes, the deadline for filing IRS Form 8949 is usually the same as the deadline for filing your federal tax return, which is April 15th (or the next business day) of the following year.

Q: What happens if I don't file IRS Form 8949?
A: If you have capital gains or losses to report and you fail to file IRS Form 8949, you may face penalties or additional tax liabilities.

Q: Can I e-file IRS Form 8949?
A: Yes, you can e-file IRS Form 8949 along with your federal tax return.