Talk:Schedule D reporting via broker summary

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I have filed schedule D when a broker supplies the detail for capital gain sales as "see attached" only separating the short term and long term summary totals. I have been told by a new client that the prior accountant claims that this format is improper yet I have never had a return come back as a problem. I cannot find the answer in either the publications or the schedule D form instructions. Further that this prior accountant charged a very large fee to report each transaction in excess of 500 transactions.

Is this "see attached" reporting a problem?

Posted by Frankgcpa

Response: I've been doing what you do for as long as I can remember, and nowadays, on e-filed returns, my long-term and short-term summary lines say "Detail Available" because of course the detail can't be attached. I have to agree with your suspicion that entering individual transactions (500+??) seems likes a great way to inflate the fee using a low-paid staff person to do mindless input (hopefully the preparer has better things to do!) I did once ask the local IRS e-file liaison agent what he thought about the "detail available" summary input, but he never got back to me. That was at least three years ago. This means that it can't be officially condoned, but they're not going to officially disallow it, either. In fact, I had a matching notice earlier this year where a client had neglected to give me a 1099-B for a muni-bond fund sale in 2003. I had summarized many of his other sales like I normally do, so the CP-2000 was unable to match individual 1099-Bs with entries on the return, but when we provided basis information resulting in a small loss in that fund, the IRS accepted the result and sent him a refund. There was no request for any more detailed information on any of the other items.

Posted by JanAugCPA

Schedule D via Broker Summary

I developed a method for scanning and converting a broker statement to xls/txf/csv format for personal use. Wonder if this would be of interest to the tax preparation community?

--Shane Gleeson 12:49, 19 April 2007 (CDT)

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