Bailout Bill adds Cost Basis Reporting

Discussion in 'Wall St. News' started by JackR, Oct 2, 2008.

  1. JackR

    JackR

    This was in the Senate version - The Treasury/IRS has been asking for this for sometime.

    SEC. 403. BROKER REPORTING OF CUSTOMER’S BASIS IN SECURITIES TRANSACTIONS.
    (a) IN GENERAL.—
    (1) BROKER REPORTING FOR SECURITIES TRANSACTIONS.—Section 6045 is amended by adding at the end the following new subsection:
    ‘‘(g) ADDITIONAL INFORMATION REQUIRED IN THE CASE OF SECURITIES TRANSACTIONS, ETC.—
    ‘‘(1) IN GENERAL.—If a broker is otherwise required to make a return under subsection (a) with respect to the gross proceeds of the sale of a covered security, the broker shall include in such return the information described in paragraph (2).
    ‘‘(2) ADDITIONAL INFORMATION REQUIRED.—
    ‘‘(A) IN GENERAL.—The information required under paragraph (1) to be shown on a return with respect to a covered security of a
    customer shall include the customer’s adjusted basis in such security and whether any gain or loss with respect to such security is long-term
    or short-term (within the meaning of section 1222).


    So now your year-end brokerage statement will show purchases AND sales, as well as profit or loss. Will see if it makes it through the House.

    Jack