Wash sale loss basis tracking software

Technical topics regarding tax preparation.
#1
Noobie  
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1134
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22-Apr-2014 1:35pm
Location:
Jacksonville, FL
I have a new client who has been dealing with the same stock for 17 years, buying, selling, rebuying, etc. My problem is that he had a lot of wash sales, which the loss has to be carried over to the new stock purchased, and his buy and sell transactions are in the hundreds.

Does anyone have experience with a wash sale loss basis tracking software?

Problem is there was one sale where not all of the loss rolled to the new shares, I have to figure that out before I can figure out the remaining basis for the remaining shares sold recently.

Received IRS letter since client forgot to put sales on 2017 return, so there is a time crunch. Total 2017 loss greater than 200k, so not a fraud issue. But i don't want to send in a filled out schedule D without it being correct.

OR should we tell the IRS we have the info, and let them figure out what the loss was?
 

#2
JAD  
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4025
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21-Apr-2014 8:58am
Location:
California
Call me crazy, but aren't the brokerage firms required to track that information? It should be on the 2017 brokerage statement, shouldn't it?
 

#3
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3694
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21-Apr-2014 11:24am
Location:
North Carolina
I once had a client that had four brokerage accounts. He got injured in a car crash and took to day trading to make some money whilst he recovered. We got him to purchase a subscription to, I think, Gainskeeper, imported the information from each brokerage account and correctly calculated the wash sales.

When he balked at the Gainskeeper subscription ($80 or so, as I recall) my boss told him it would take a week at his customary rates for me to do it.
 

#4
jon  
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3-May-2014 11:11am
Location:
minnesota
GAINS/LOSS since 2012 are required to be tracked by the brokers. Wash Sales are computed by brokers unless there are some pre 2012 coast basis that are still in process of a wash sale - it probably could happen, but close to impossible...
 

#5
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182
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10-Dec-2014 1:52am
Location:
New York
My client started trading in two accounts in 2019. It is a nightmare when I thought about the wash sale issue.

Besides Gainskeeper, any other recommendations?
 


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