Tackling your taxes can feel like a daunting task, especially when you have investments. But what if I told you there's a way to simplify the process significantly, cutting down on manual data entry and reducing the chances of errors? If you have investments with Fidelity and use TurboTax, you're in luck! TurboTax offers a fantastic feature that allows you to directly import your tax forms from Fidelity. This means less time spent poring over statements and more time enjoying peace of mind.
Ready to streamline your tax preparation? Let's dive in and learn how to link Fidelity to TurboTax step-by-step, making tax season a breeze!
The Power of Direct Import: Why Link Fidelity to TurboTax?
Before we get into the "how," let's quickly touch on the "why." Linking your Fidelity accounts to TurboTax offers several compelling advantages:
Accuracy: Direct import minimizes the risk of manual data entry errors, ensuring your tax return accurately reflects your investment income, gains, and losses.
Time-Saving: Say goodbye to manually typing in every dividend, interest payment, or stock sale. The import feature does the heavy lifting for you, saving you valuable time.
Completeness: TurboTax is designed to pull in all relevant tax forms (like 1099-INT, 1099-DIV, 1099-B, and sometimes 1099-R for retirement distributions) directly from Fidelity, helping you avoid missing any crucial information.
Convenience: All your investment tax data is consolidated within your TurboTax return, making it easy to review and manage.
 |
| How To Link Fidelity To Turbotax |
Step 1: Get Prepared – The Pre-Import Checklist
Before you even open TurboTax, a little preparation goes a long way. This ensures a smooth and successful import process.
1.1: Ensure Your Fidelity Tax Forms Are Ready
Crucial Timing: The most important thing is to wait until your Fidelity tax forms are officially available. Fidelity typically makes these forms (like 1099-INT, 1099-DIV, 1099-B, etc.) available by certain IRS deadlines, generally by late January or mid-February. Sometimes corrected forms may be issued later.
Verify Availability: Log in to your Fidelity account online. Navigate to the "Accounts & Trade" section, then look for "Tax Forms & Information" or "Statements & Reports." Here, you should see a list of your available tax documents. Do not proceed with the import until you see the forms you expect to be imported.
Understand Form Types: Familiarize yourself with the types of forms you'll likely receive:
Form 1099-INT: For interest income.
Form 1099-DIV: For dividend income and capital gains distributions.
Form 1099-B: For proceeds from brokerage and barter exchange transactions (stock sales, bond sales, etc.).
Form 1099-R: For distributions from IRAs, 401(k)s, and other retirement plans. Note that Fidelity NetBenefits accounts (often for 401ks) sometimes require manual entry, even if regular Fidelity accounts import seamlessly.
1.2: Gather Your Fidelity Login Credentials
You'll need your Fidelity Username and Password handy. If you use multi-factor authentication (which you absolutely should!), be prepared to complete that step during the import as well.
Troubleshooting Tip: If you've forgotten your credentials, visit the Fidelity website and use their "Forgot Username" or "Forgot Password" tools.
1.3: Update Your TurboTax Software (Desktop Users)
If you're using the desktop version of TurboTax (CD/Download), ensure your software is fully updated to the latest version. Outdated software can sometimes lead to import issues. Open TurboTax and check for updates before starting.
Online Users: TurboTax Online is always updated automatically, so you don't need to worry about this step.
1.4: Check Your Internet Connection and Browser (If Applicable)
Tip: Revisit challenging parts.
A stable internet connection is key for a successful data transfer.
If you're using TurboTax Desktop, the import process might open a tab in your default web browser for the Fidelity login. Certain browser extensions (like ad blockers or privacy shields) can sometimes interfere with the import process. If you encounter issues, try temporarily disabling them or switching to a different browser (e.g., Chrome, Firefox, Edge).
Step 2: Initiating the Import in TurboTax
Now that you're prepared, let's begin the import process within TurboTax. The steps are largely similar for both online and desktop versions.
2.1: Open Your TurboTax Return
Start Your Return: Log in to your TurboTax account online or open your TurboTax software on your desktop.
Navigate to Income Section: You'll generally find the investment income section under the "Income & Expenses" or "Wages & Income" tab. Look for sections related to "Investments," "Stocks, Mutual Funds, Bonds," or "Interest and Dividends."
2.2: Indicate You Have Investment Income
TurboTax will guide you through questions about your income. When prompted about investment income (e.g., "Did you sell any investments?" or "Did you receive any interest or dividends?"), select "Yes" or the appropriate option.
Choosing to Import: TurboTax will then ask if you want to import your forms or enter them manually. Select the option to "Import" or "Automatically transfer your 1099 documents."
2.3: Select Fidelity as Your Financial Institution
You'll be presented with a search bar or a list of financial institutions. Type "Fidelity" into the search bar.
Be Specific: Sometimes, there might be slight variations (e.g., "Fidelity Investments," "Fidelity Brokerage"). Choose the option that most accurately represents your Fidelity account. For general brokerage and IRA accounts, "Fidelity Investments" is usually the correct choice. If you have a Fidelity NetBenefits account (often for 401k plans), note that these forms may not always import and might require manual entry, as mentioned earlier.
Step 3: Securely Log In to Fidelity Through TurboTax
This is the critical step where TurboTax connects directly to your Fidelity account to pull in your tax data.
3.1: Enter Your Fidelity Credentials
A secure pop-up window or a new browser tab will appear, prompting you to enter your Fidelity Username and Password.
Security is Key: This connection is secure and encrypted. TurboTax does not store your Fidelity credentials. It's simply acting as an intermediary to facilitate the data transfer.
QuickTip: Stop and think when you learn something new.
3.2: Complete Any Multi-Factor Authentication (MFA)
If you have MFA enabled on your Fidelity account (e.g., a code sent to your phone, a push notification through the Fidelity app), be prepared to complete this step. Follow the prompts from Fidelity to authenticate your login.
3.3: Authorize the Data Transfer
After successfully logging in and completing MFA, Fidelity will typically ask you to authorize TurboTax to access your tax documents. Click "Allow," "Import," or "Continue" to grant permission.
Step 4: Reviewing and Importing Your Fidelity Tax Data
Once TurboTax connects to Fidelity, it will display the available tax forms for import.
4.1: Select the Forms to Import
TurboTax will show you a list of the 1099 forms found in your Fidelity account (e.g., 1099-INT, 1099-DIV, 1099-B, 1099-R).
Review Carefully: Carefully review the forms listed and ensure they match the forms you expect to import based on your Fidelity online account. There might be checkboxes next to each form. Select all the forms you wish to import.
4.2: Initiate the Import
 |
After selecting the desired forms, click the "Import Now" or "Continue" button.
Patience is a Virtue: The import process may take a few moments, especially if you have a large number of transactions (e.g., many stock sales on a 1099-B). Do not close TurboTax or your browser during this time.
4.3: Verify Imported Information
Once the import is complete, TurboTax will provide an import summary.
Cross-Reference: This is a critical step. While the import is generally accurate, it's always best practice to compare the imported data in TurboTax with your official Fidelity tax statements (PDFs). Look for:
Correct account numbers.
Accurate amounts for interest, dividends, and proceeds from sales.
Correct cost basis information (for 1099-B transactions).
Address Discrepancies: If you notice any discrepancies, you can usually edit the imported data directly in TurboTax. If the discrepancy is significant or you're unsure, it's best to consult your Fidelity statements again or contact Fidelity for clarification.
Step 5: Continuing Your Tax Return
With your Fidelity investment data successfully imported, you can now proceed with the rest of your tax return.
QuickTip: Skim for bold or italicized words.
5.1: Navigate Through Investment Sections
TurboTax will guide you through subsequent questions related to your investments. This might include clarifying details about specific transactions, wash sales, or other investment-related inquiries.
Answer Prompts Accurately: Answer all questions accurately to ensure your investment income and deductions are correctly reported.
5.2: Review Your Entire Return
Before filing, always take the time to thoroughly review your entire TurboTax return. Check for any other missing information or potential errors.
Utilize TurboTax's Review Feature: TurboTax has built-in review tools that scan for common errors and missed deductions. Use these to your advantage.
Troubleshooting Common Fidelity TurboTax Import Issues
While the import process is usually smooth, you might encounter a hiccup or two. Here are some common issues and their solutions:
"No Tax Forms Found" or Blank Screen:
Solution: Double-check that your tax forms are actually available on the Fidelity website. If they are, try closing and reopening TurboTax. Clear your browser's cache and cookies. If you're using the desktop version, try changing your default browser (e.g., from Brave to Chrome or Edge), as some browsers with strong privacy settings can block the import.
Solution: Verify that you are attempting to import from the correct Fidelity account type. Fidelity NetBenefits accounts may not support direct import in the same way as brokerage accounts.
"Import Failed" or Error Message:
Solution: Re-enter your Fidelity credentials carefully. Ensure your internet connection is stable. If you have multiple Fidelity accounts, try importing one at a time.
Solution: If the issue persists, wait a few hours and try again. Sometimes, there are temporary glitches on either Fidelity's or TurboTax's end.
Too Many Transactions (1099-B):
Solution: If you have a very large number of transactions on your 1099-B (e.g., thousands), TurboTax might have limits on direct import. In such cases, you may need to enter summary totals from your Fidelity 1099-B statement into TurboTax. Fidelity's 1099-B typically provides these summarized categories (e.g., Box A short-term covered). You might also need to mail in a complete Form 8949.
Fidelity NetBenefits Import Issues:
Solution: As noted, 401(k) information from Fidelity NetBenefits often needs to be entered manually into TurboTax, rather than imported. Check your 1099-R from NetBenefits and manually input the details.
Corrected 1099:
Solution: If Fidelity issues a corrected 1099, you'll need to re-import or update your existing imported data in TurboTax once the corrected form is available.
Frequently Asked Questions (FAQs)
How to check if my Fidelity tax forms are available?
Quick Answer: Log in to your Fidelity account online, go to "Accounts & Trade," and then "Tax Forms & Information" or "Statements & Reports." Look for the tax forms for the current tax year.
How to re-import Fidelity data if I received a corrected 1099?
Quick Answer: Once Fidelity makes the corrected 1099 available online, go back to the investment income section in TurboTax, select your Fidelity account, and initiate the import process again. TurboTax should prompt you to update the existing imported data.
How to handle a very large number of stock transactions from Fidelity in TurboTax?
Tip: Keep scrolling — each part adds context.
Quick Answer: If direct import is limited due to transaction volume, you can often enter summary totals from your Fidelity 1099-B into TurboTax. You may also need to print and mail a detailed Form 8949 as a supplement to your e-filed return.
How to find my Fidelity username and password?
Quick Answer: If you've forgotten them, go to the Fidelity website and use their "Forgot Username" or "Forgot Password" links to recover or reset your credentials.
How to fix a blank screen or import error when linking Fidelity to TurboTax?
Quick Answer: Try closing and reopening TurboTax, clearing your browser's cache and cookies, and temporarily disabling any ad blockers or privacy extensions. Consider trying a different web browser.
How to import Fidelity NetBenefits (401k) information into TurboTax?
Quick Answer: Fidelity NetBenefits accounts for 401k plans often require manual entry of Form 1099-R details, as direct import may not be supported for these specific accounts.
How to ensure all my Fidelity accounts are imported into TurboTax?
Quick Answer: When you initiate the import, TurboTax should display a list of all 1099 forms associated with your Fidelity login. Select all relevant forms from all your accounts before proceeding.
How to manually enter Fidelity investment data if import fails?
Quick Answer: If direct import doesn't work, TurboTax will usually provide an option to "Enter it myself" or "Type it in." You can then manually input the details from your physical or PDF Fidelity tax statements.
How to know if I need to wait for a corrected 1099 from Fidelity?
Quick Answer: Fidelity will typically notify you via email or a message in your online account if a corrected tax form has been issued. Always check your Fidelity tax documents section for the most up-to-date forms.
How to get help if I'm still having trouble linking Fidelity to TurboTax?
Quick Answer: First, check the TurboTax support website and community forums for specific error messages. If you still can't resolve it, contact TurboTax customer support. For issues related to your Fidelity account or forms, contact Fidelity customer service.
 |
