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I have investment expense for 2017 and I have completed form…

I have investment expense for...
I have investment expense for 2017 and I have completed form 4952 but how do I reconcile my 4952 amount with the numbers I have on schedule D? How do I deduct the investment expense?
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3/12/2018
Chad EA, CDFA®, CFP®
Chad EA, CDFA®, CFP®, CERTIFIED FINANCIAL PLANNER ®, Professional
Category: Tax
Satisfied Customers: 2,765
Experience: IRS Licensed Enrolled Agent, CDFA ® CFP ®, MBA
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Customer reply replied 5 months ago
I will stand by

Investment expenses reported on Form 4952 are separate items which are not reported on Schedule D.

___

Schedule D is used to determine capital gains from the sale or disposition of property or other investments reported on 1099B.

Please let me know your follow up questions.

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The purpose of Form 4952 is to "figure the amount of investment interest expense you can deduct for the current year and the amount you can carry forward to future years. "

Investment interest expense is not commission. Commission is figured into the cost basis of the stock or property.

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Customer reply replied 5 months ago
my final amount on form 4952 is my capital gain. That amount is my 2017 capital gain minus investment interest.

The final amount from line 8 is "Investment interest expense deduction." --- Which is not included in the calculation for capital gains.

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That number goes on line 14 of Schedule A--"Investment interest. Attach Form 4952 i"

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Customer reply replied 5 months ago
Got it, thanks

Here is a link to Schedule A for your convenience.

https://www.irs.gov/pub/irs-pdf/f1040sa.pdf

Chad EA, CDFA®, CFP®
Chad EA, CDFA®, CFP®, CERTIFIED FINANCIAL PLANNER ®, Professional
Category: Tax
Satisfied Customers: 2,765
Experience: IRS Licensed Enrolled Agent, CDFA ® CFP ®, MBA
Verified
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