Login|Contact Us
Question and Answer

Finance

Ask a Finance Question, Get an Answer ASAP!

  • Ask A Question
  • Browse Answers
  • Meet The Experts
  • How JustAnswer Works

do you report noncovered short and long term capital gains

 
rakhivasavada's Avatar
  • Answered by:rakhivasavada
  • Financial and Legal Consultant
  • Positive Feedback: 95.1 %
  • Accepted Answers: 1640
Verified Expert
in Finance

Recent Feedback

Positive
vg
Positive
vg
Positive
vg
Positive
vg
Positive
ds
Positive
thank you
Positive
Thank you
Positive
Thanks for your help
Positive
thank you so much
Positive
thank you

Customer Question

do you report noncovered short and long term capital gains on stock transactions shown on 1099-B?

 

Optional Information:
Country/State/Province of question: florida

Already Tried:
google search

Submitted: 386 days and 11 hours ago.
Category: Finance
Value: $30
Status: CLOSED

Accepted Answer

Picture
Expert:  rakhivasavada replied 386 days and 11 hours ago.


rakhivasavada :

Hello....

rakhivasavada :

What do you mean by noncovered ??

rakhivasavada :

Do you still hold those investments ?

rakhivasavada :

You appear offline. Please note that 1099-B is to report "Proceeds" from the broker or a barter exchanges and in case of non-covered securities,

rakhivasavada :

Sales of non-covered securities for which no cost basis is provided on the 1099-B and thus the gain is ALSO reported in 1099-B

rakhivasavada :

You may "Accept" this if it helps and leave feedback as this is the only way we get credit for the work. Alternatively, please feel free to revert with additional queries.

Warm Regards,

Customer :

my 1099-B from my broker has the short term and long term gains and lossed broken down into two sections

Customer :

covered transactions

rakhivasavada :

Dear Friend, Do you read these messages ? I am online to help you

Customer :

noncovered transactions - the statement shows the sales price and cost basis for both covered and noncovered transactions so i am sure that we have to report both but just wanted positive confirmation. The brokerage 2011 tax reporting statement has a sentence that reads "Any sale of a security that is not considered a covered security will still be included in this section with ist adjusted cost basis (where available) but will not be transmitted to the IRS." This statement is what is confusing me

rakhivasavada :

You need to know that "Covered" are the sales whose basis is reported to IRS and "non-covered" means NOT reported to IRS as yet. Having said this, in both the cases, you STILL NEED TO REPORT cost basis to IRS. But note that non-covered or not-reported to the IRS does not mean that the brokerage house is not giving YOU the cost basis, it just means the cost basis isn't being reported to the IRS.

rakhivasavada :

it is STILL REPORTED on 1099-b

rakhivasavada :

Also note that the figures of covered / uncovered should NOT be different. The gains/losses being reported to the IRS should be the same they are reporting to you.

rakhivasavada :

Am I clear ? I confirm that it should be reported on 1099-B

rakhivasavada :

You may "Accept" this if it helps and leave feedback as this is the only way we get credit for the work. Alternatively, please feel free to revert with additional queries.

Customer :

okay, most of the noncovered are stocks purchased before 2011 - guess i should have looked closer. so these all need to included on my return - correct. respond back and i will hit accept for your payment. thanks for your assistance.

rakhivasavada :

Yes.. they need to be included. If your broker has not reported, you should report it.

Customer :

thank you

rakhivasavada :

You are most welcome..!!!

Expert TypeFinancial and Legal Consultant
Category: Finance
Pos. Feedback: 95.1 %
Accepts: 1640
Answered: 4/21/2012

Experience: Graduated in law with Emphasis on Finance and have have been working in financial sector for over 8

Ask this Expert a Question >
 
Tweet

2 Financial Professionals are Online Right Now

Ask Your Question Now
Finance Questions Date Submitted
I want to take a hardship loan from my 401k to buy a 4 season 5/2/2013
where can I get benchmark for Customer aquisition costs? and 4/29/2013
I am looking to see if Amazon, IBM, and Microsoft are undervalued 4/28/2013
Alan and Barbara are in the process of purchasing their first 4/25/2013
For GetsetgoQuestion 1:Estimate WACC for Coca-Cola Amatil 4/25/2013
For Getsetgo (1) Assess the company's 2010–11 performance 4/25/2013
4. (TCO D) You are CFO of Goforit, Inc., a wholesale distribution 4/24/2013
We parents want to purchase a fsbo condo for daughter as owner. 4/19/2013
10.3 General Consulting plc has four divisions 4/18/2013
I need to find a loan for preferably $5,000-$10,000. Any recomendations 4/16/2013
RSS
Next 10 >
Ask A Financial Professional
Type Your Finance Question Here...
characters left:

Top Finance Experts

See More Financial Professionals

In The News

Nbc
Washington Post
New York Times
Cnn
Learn More

How It Works

  • Ask an Expert
  • Get a Professional Answer
  • Ask Followup Questions
  • 100% Satisfaction Guarantee
Learn More
close
Find Expert answers related to your question.
Sign up using email
We will never post anything without your permission.
Already have an account? Sign in

Ask a Financial Professional

Get a Professional Answer. 100% Satisfaction Guaranteed.
163 Financial Professionals are Online Now
Type Your Finance Question Here...
characters left:
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.
Truste
Contact Us | Terms of Service | Privacy & Security | About Us | Our Network
© 2003-2013 JustAnswer LLC
  • Pearl.com
  • JustAnswer UK
  • JustAnswer Germany
  • JustAnswer Spanish
  • JustAnswer Japan