When filing out schedule d tax form do you round off the numbers for stock price sell

Discussion in 'Taxes and Accounting' started by getgy888, Mar 29, 2011.

  1. getgy888


    I sold one stock but i have about thirty transactions where i bought stock about four times per year over eight years can i round off each transaction like sale of stock is 74.027 do i put 74 and if sale price is 229.587 can i put 230.00 thank you for and answers
  2. If you round it off from 229.587 to 230.00 you're listing a HIGHER sale price which will result in you paying more tax. Don't see why you'd want to do that. If you round against you're giving more money, if you round in your favor it might be fraud but I know nothing about taxes. I can understand rounding from 229.587 to 229.59 but rounding up 40 cents is a lot. Even if there are no legal consequences since you're paying extra, you're still, well... paying extra!
  3. the1


    Yes. All numbers are reported in whole dollars. Anything that has 50 cents or higher gets rounded up and 49 cents and lower gets rounded down. You don't have to report cents. In fact, if you are using any software program to prepare your taxes it likely won't let you enter cents.
  4. the1


    The difference between 229 and 230 is negligible and taxpayers will have numbers that get rounded down so the difference comes out in the wash. There is no tax fraud here. Tax fraud occurs when you try to hide income from the IRS. Whole dollars is what the IRS WANTS.

  5. Some will let you enter it, but then it changes it for you.

    To the OP - just enter exactly what you have and let the software or your accountant change it for you.
  6. morgen


    You can round the actual prices to the nearest dollar. And in the description, yes you can put whole numbers instead of the actual fractions