January 24, 2024
***IMPORTANT TAX REPORTING INFORMATION***
***If you use a CPA to complete your tax returns, STOP HERE! Take this letter to your tax preparer along with your other tax documents. Otherwise, please read the following.
The IRS requires that you report your short-term and long-term gains/losses on Form 8949 and then transfer this information to the Schedule D. This letter is designed to assist you in completing these forms.
All non-retirement account tax forms will be mailed and available online on February 15, 2024. Please note that if the information is received from the custodian after the tax forms process begins, a corrected tax form will be sent.
TurboTax and H&R Block
The information will be available for download into Turbo Tax and H&R Block on February 15, 2024. You will need to have the login information for all of your accounts at www.stlfp.com that have 1099’s associated with them. If you don’t have the login information, please contact your representative.
Manual Preparation of Tax Return
You will receive Form 1099-B from Axos Advisor Services for any non-qualified (non-retirement) accounts you own.
All transactions from Axos Advisor Services were reported to the IRS, so you will check Box A on Page 1 (for short term) or Box D on Page 2 (for long term) on Form 8949. Use one line on Form 8949 for all the trades, writing the name of the custodian ‘Axos Advisor Services’ on column (a) and ‘Various’ for dates in columns (b) and (c).
Use Part I of Form 8949 for Short-Term capital gains/losses and Part II of Form 8949 for Long-Term capital gains/losses. After checking the appropriate box, enter the information for your transactions as follows on Part I or Part II of Form 8949. The ‘Stocks, Bonds, Etc.’ Gross Proceeds on page 3 of the Form 1099-B should be entered on column (d). The ‘Cost or Other Basis’ total should be entered in column (e). If there is a ‘Wash Sale/Disallowed Loss’, enter that number in column (g) and put a ‘W’ in column (f). The resulting gain (or loss) is entered in column (h). Add up the total for each Form 8949 you had to complete.
Transfer the totals from Form 8949 to your Schedule D.
A) Short-Term capital gains/losses totals will transfer to Schedule D Line 1b.
B) Long-Term capital gains/losses totals will transfer to Schedule D Line 8b.
Attach this ‘Tax Reporting Statement’ to your tax return. If you plan to e-file your tax return, fill out Form 8453, place a check next to box ‘Form 8949’, attach Form 8949 along with your ‘Tax Reporting Statement’, and mail this separately to the IRS.
Please call with any questions or if we can be of any assistance.
Sincerely,
Casey D. Hunt, CFP® CMT
CERTIFIED FINANICAL PLANNER™ professional
CDH/kmg
*This information is meant to be general in nature and is not intended to be tax or legal advice. Please contact your tax or legal professional for questions regarding your specific situation.