AnnieR Posted April 14, 2009 Report Share Posted April 14, 2009 Just struggled through a return with 1099B that has 90 withdrawals from 5 mutual funds. There is no taxable income...$3026 in DIV, -$3000 in losses with a -$5000 carryover. Client should file to cover any questions and to have a record of the carryover? Brain dead after this. Interesting thing is, she had the same situation last year...unfortunately she didn't leave the receipt from HRB in the folder she gave me. Would have been enlightening to see it. AnnieR Quote Link to comment Share on other sites More sharing options...
Gail in Virginia Posted April 14, 2009 Report Share Posted April 14, 2009 Filing requirement is based on gross income, not taxable. Quote Link to comment Share on other sites More sharing options...
Janitor Bob Posted April 14, 2009 Report Share Posted April 14, 2009 Just struggled through a return with 1099B that has 90 withdrawals from 5 mutual funds. There is no taxable income...$3026 in DIV, -$3000 in losses with a -$5000 carryover. Client should file to cover any questions and to have a record of the carryover? Brain dead after this. Interesting thing is, she had the same situation last year...unfortunately she didn't leave the receipt from HRB in the folder she gave me. Would have been enlightening to see it. AnnieR I would file to make sure you retain visibility of the carryover. Quote Link to comment Share on other sites More sharing options...
AnnieR Posted April 14, 2009 Author Report Share Posted April 14, 2009 Thanks, that was my thought, just wanted someone else to verify it. AnnieR Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted April 15, 2009 Report Share Posted April 15, 2009 Yes, you need to file it, not just to keep up with last years carryover, but to add this years loss. After all, without filing the D, the IRS knows about the sale price, but not the basis. YOU establish the loss by filing the D. Without filing it, there is no loss in the IRS file to carry over. In fact, they would see it as a profit since they see the sale without any offsetting basis. Quote Link to comment Share on other sites More sharing options...
joanmcq Posted April 15, 2009 Report Share Posted April 15, 2009 and she'd get a really nasty cp 2000 in a year or so. Quote Link to comment Share on other sites More sharing options...
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