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MoMoMoney
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I lost money big time last year on trading and I just received my statement summary from my broker. Even though I lost money, do i have to report it?
Posts: 785 | From: la | Registered: May 2005  |  IP: Logged | Report this post to a Moderator
Buckeye
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Rags, claim the 3K max for a "capital gains loss", I believe on line 14 on the 1040 (or close to 14).
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Rbreb13
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http://www.fairmark.com/capgain/capgain.htm
A lot of good info here. I lost a bit myself. Reporting your losses means your refund will be larger. It makes no sense to not report.

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mizzou7
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Always report your losses...

$3000.00 max. per year.

If you lost more than $3000.00 you can carry it over to the next year... if you have capital gains your losses from the previous year can help off-set taxes you might owe on the capital gains.

mizzou7

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JW
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Is it true if you hold a stock for more than a year the max you have to pay on gains is 15% ??

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"Keep your stick on the ice, we're all in this togeather!"

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Jmoove
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yes that is true

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Choosing individual stocks without any idea of what you're looking for (or without reliable information) is like running through a dynamite factory with a burning match. You may live, but your still an idiot.

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JW
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Thanks Jmoove! [Cool]

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"Keep your stick on the ice, we're all in this togeather!"

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MoMoMoney
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the thing is on the statement it says aggregate profit or loss of zero. Is this because I'm still holding onto it? Can I still report a loss even though I'm still holding onto it?
Posts: 785 | From: la | Registered: May 2005  |  IP: Logged | Report this post to a Moderator
mizzou7
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No... you can not report a loss unless you have sold the position..

quote:
Originally posted by RagsToRiches:
the thing is on the statement it says aggregate profit or loss of zero. Is this because I'm still holding onto it? Can I still report a loss even though I'm still holding onto it?


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MoMoMoney
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is it too late to sell my stock and get the refund? or do I have to wait until next year.
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mizzou7
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You will have to wait until next year...

quote:
Originally posted by RagsToRiches:
is it too late to sell my stock and get the refund? or do I have to wait until next year.


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ShortTermMemory
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Does anyone pay there capital gains quarterly? I've been told you actually pay interest by waiting till the end of the year.
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Thorn
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Actually, I believe that for all capital gains (with maybe a few exceptions) even if you don't hold for a year the max is currently 15% tax. The 28% on capital gains on stocks held for less than a year and a day was dropped; it doesn't apply to 2005.

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May your trading build your character as well as your portfolio.

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SuperSniper00
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My grandfather mentioned he paid quarterly once but never explained why and how

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*I'm not a financial expert or advisor, everything stated is my opinion*

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HossTrader
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Any gains on stock not held for a year is taxed as regular income.
What has changed recently is dividends are taxed at the capital gains rate if you hold the stock for like 120 days.( I think at least 60 days before ex-dividend date.)

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I just want to make enough money to be eccentric.

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stickfigurefred
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IRS will have a copy of your 1099-B statement so you will want to show the loss with a Schedule D, otherwise they will see the extra gain you had to your income.

quote:
Originally posted by RagsToRiches:
I lost money big time last year on trading and I just received my statement summary from my broker. Even though I lost money, do i have to report it?


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jakeo
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I have a question about that too.

So i made a profit of about 1,500 (all short term) from trading pennies this year, but my actual income is like 2,500 from regular work hours.
Will I have to pay taxes on my 1,500 or will I be exempt? Or will i have to pay on the marginal revenue above the exemption?

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eric23
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if i only have a small loss, but for other reasons, don't want to report it (nor the balance of my account), do I have to?

TIA

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Zygore
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Need some advice from fellow E-Trade account holders.

The 1099 Consolidated form only shows what was sold and is reported to the IRS. The detailed income statement shows all that was bought but is for information purposes only. This don't seem right at all because it doesn't show wether you had overall gains or losses like you would see with a 1099-B.

Can someone shed some light on how I would file in order to show my losses?

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Pennies...Get in, Get out, Get a profit!

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metal1
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Yes, only gross proceeds from the 1099-b are reported to the IRS. It is then your responsibility to tell the IRS what the cost for each trade was and report that on the sched-D to figure your total gains and losses. it would be easy to cheat but if you were ever audited you would be in serious trouble.
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Zygore
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OK I see now I looked up the schedule D:

http://www.irs.gov/pub/irs-pdf/f1040sd.pdf

and it looks like I have to record every transaction throughout the year to show that I had an overall loss [Frown]

Thanks Metal...

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Pennies...Get in, Get out, Get a profit!

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Machiavelli
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.... www.fairmark.com

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Let the world change you... And you can change the world.

Ernesto "Che" Guevara de la Serna

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tippytwo
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Most brokers have tools on their site that keeps track of your gain/loss for tax checking.
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