What is a substitute statement?

Almost everyone with investment sales (stocks, bonds, mutual funds, etc.), will get a Form 1099-B or a substitute statement (consolidated 1099) from their bank or broker.

A substitute statement is essentially a re-formatted Form 1099-B, which often lists out all of your information in columns instead of boxes.

Form 1099-Bs and substitute statements both detail your sale information including the sales proceeds, cost basis and whether it was reported to the IRS or not. If you have a statement that has this information, then you have a substitute statement.

Examples of common substitute statements might include:

• A consolidated 1099 that includes your Form 1099-B information in addition to other 1099 forms (like Form 1099-INT).
• A summary or list of all your investment sale information (proceeds, cost basis, IRS reporting, etc.)
• A filled out Form 8949 provided by your crypto company