Gainskeeper is an excellet tool. BUT if you just "put the net proceeds on my Schedule D net of Sc D" then you may need a CPA or EA now to smooth this whole thing over with the IRS. Any local preparer should be able to handle this for you. It is quite common. There's probably no need for a more expensive tax attorney at this stage. The IRS is really cracking down hard on people reporting summaries and net amounts after several years of rumors spreading over the internet that this was acceptable practice. That kind of acceptableness is like reading on the internet that Corvettes may travel the highways at 90MPH as long as they drive carefully. And then when the state troopers start enforcing 65MPH with vigor the Corvette owners are shocked. As long as your bottom line gain/loss is correct, the gainskeeper report should allow your representative to put a quick end to this little nightmare. In the future simply attach the gainskeeper report with a reference on the Sch D so that the IRS should see that you are fully compliant!!
robert green is basically the top of the stack for retail traders and small funds. www.greentradertax.com best, surfer
Same thing happened to me - just got a letter in the mail from the IRS stating I owed more for 2004. Just went to my tax guy and he issued a new Sch D. We'll see how it turns out. According to him, it was/is no big deal!? I guess he put too much into my long term loss which is what created the error? We'll see...
The bottom line loss/gain matches to the penny, so I'll do as you suggest and seek out a CPA or EA to sort it all out and to keep it sorted out in the future. That said, all the 'kinder and gentler' agent had to do was explain he was unable to accept the accounting in the manner it was presented! His tone was that I owed the money and when could they expect payment, nothing more. An eight grade high school student could see I didn't actually owe taxes and that it was a simple matter of accounting format. Surely he didn't actually expect me to pay an additional $78,000 merely because he said so! Regards, st
i think this is a very remote problem and just the very small luck of the draw problem were the irs see's you didn't itemze every trade. i still say if you have billions of $ of trades the irs damm well knows your full time and doesn't want a 3000 page 1099. the reasoning behind the 2005 irs statments to see every trade is people were cheating like hell and trading 1 month of the year and writing all there expenses off on sch c and filing as a full time trader. by seeing every trade the irs see's wether you traded full time or just now and then