2025 Form 1099-B - Answering common questions about reporting and cost basis

Sep 19, 2026

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2025 Form 1099-B from Edward Jones helps investors understand securities sales, redemptions, and exchanges reported in taxable brokerage accounts during 2025, including cash received in lieu of fractional shares. Guidance covers how to report transactions on Form 8949 and Form 1040/1040-SR, Schedule D, and explains cost basis concepts, including Edward Jones’ lot cost basis, FIFO lot-relief, average cost for eligible mutual funds, and tax implications for covered vs. noncovered securities.

LanguageEnglish

CategoryForms

FormatPDF

Pages2

Reading Time1 min

AccessFree to download

Common questions

How to report sales and exchanges

What is cost basis

How Edward Jones determines cost basis

Deducting commissions

Covered vs. noncovered securities

Form filing requirements

Box explanations

> [edwardjones.com](edwardjones.com | Member SIPC)[ | Member SIPC](edwardjones.com | Member SIPC) 2025 Form 1099-B Furnished by Edward Jones to report sales, redemptions and exchanges of securities in taxable brokerage accounts Use this document to help understand your Form 1099-B from Edward Jones, which is issued as part of your Consolidated 1099 Tax Statement if you sold, redeemed or exchanged securities in your taxable brokerage account during 2025. Form 1099-B also reports cash received in lieu of fractional shares. Common questions How do I report sales and exchanges? For each security sold, redeemed or exchanged, you maybe required to provide certain information relating to the disposition of the security, including the date acquired, date of sale or exchange, quantity, proceeds, cost basis and gain/loss. Generally, this information should be reported on Form 8949 and Form 1040/1040-SR, Schedule D. It’s important to note that you may need to report the activity even if you did not realize a gain or loss from the sale, redemption or exchange listed on Form 1099-B. Refer to the form instructions for details. Transactions are reported on Form 1099-B from Edward Jones in four sections and should generally be reported on Form 8949 accordingly: • Short-term covered—Form 8949, Part I, Box A • Short-term noncovered—Form 8949, Part I, Box B • Long-term covered—Form 8949, Part II, Box D • Long-term noncovered—Form 8949, Part II, Box E What is cost basis? The cost basis of an investment is usually the amount you paid for it, including any commissions, fees, reinvestments and original issue discount (OID) . It also may include adjustments for sales, principal returns, mergers, splits and spin-offs. How does Edward Jones determine my cost basis? For equities and fixed-income securities, Edward Jones uses the original lot cost basis method. In Select accounts, the first-in, first-out (“FIFO”) lot-relief method (“sell order”) is used, and in Advisory accounts, a tax-efficient sell order is used. For domestic open-end mutual funds in Select accounts, Edward Jones uses the average cost basis method and FIFO sell order. Separate averages are calculated for covered and noncovered shares. In Advisory accounts, the original lot cost basis method and tax-efficient sell order are used. In all cases, specific shares may be identified at the time of the sale, and shares missing cost basis are sold first per IRS requirements unless otherwise specified. Can I deduct commissions I paid to buy/sell a security? Commissions are generally not tax-deductible as an itemized deduction. Instead, commissions are generally added to the purchase price and subtracted from the sale price to determine the gain or loss on disposition of the security. The Edward Jones confirmation reflects the total purchase cost, including commissions. Form 1099-B reflects the net proceeds received after the commission has been subtracted. For additional information, see IRS Publication 551, Basis of Assets, and refer to the Stocks and Bonds subsection under Cost Basis. What are covered and noncovered securities? Cost basis regulations require Edward Jones to report cost basis to the IRS when securities “covered” by the regulations are sold, redeemed or exchanged. Cost basis is not reported to the IRS for “noncovered” securities. Covered securities are those purchased beginning in: • 2011: Stock shares not in a dividend reinvestment plan • 2012: Mutual fund shares and stock shares purchased through a dividend reinvestment plan • 2014: Fixed-income securities designated by the IRS as being “less complex” • 2016: Fixed-income securities designated by the IRS as being “more complex” If you have questions regarding: Your Consolidated 1099 Tax Statement: [Visit edwardjones.com/taxcenter or contact](Visit edwardjones.com/taxcenter or contact) Edward Jones at 800-282-0829: Monday to Friday, 8 a. m. to 6 p. m. CT Your tax return: C

FAQs

How do I report sales and exchanges shown on Form 1099-B?

For each sold, redeemed, or exchanged security, provide acquisition date, sale/exchange date, quantity, proceeds, cost basis, and gain or loss. This information is generally reported on Form 8949 and then carried to Form 1040/1040-SR, Schedule D.

What does “cost basis” mean for investments on Form 1099-B?

Cost basis is generally what was paid for the investment, including commissions, fees, reinvestments, and original issue discount, with adjustments for items such as sales, principal returns, mergers, splits, and spin-offs.

What are covered and noncovered securities?

Covered securities have cost basis reported to the IRS under specific covered periods. Noncovered securities do not have cost basis reported to the IRS, and Box 5 indicates that the security is noncovered under the cost basis reporting regulations.

Sep 19, 2026

Upload by Jake