Capital Gains and Losses

February 23, 2012

If you made taxable sales of stocks, mutual fund shares, other securities, or other capital assets (such as real estate) last year, a new form (Sales and Other Dispositions of Capital Assets) must be included with your return along with the familiar Schedule D (Capital Gains and Losses).

The reason for new Form 8949 is the fact that securities brokers must now report to sellers (like you) the basis of certain securities that were sold in taxable accounts in 2011. They must also tell you if the gains and losses from selling such securities were short-term or long-term. Previously, securities brokers had no such obligations.

This information will be included on Form 1099-B and should be provided to us with the rest of your tax material.

For more information please contact your Perelson Weiner partner.

Return to Newsletter Archive