When does IB deliver it's tax forms online?

Got it to work out. Very confusing but once it was all in Turbo Tx the gain /loss calculations came out correct. Simple solution for 2012 , no trading of anything that might create a wash sle in December !!
 
Big Concerns with Botched 1099-Bs and Discrepancies on Form 8949
http://www.greencompany.com/blog/index.php?postid=139

I was also included in the below WSJ article on this same subject.

Dodging a 'Cost Basis' Crisis
http://online.wsj.com/article/SB10001424052970203961204577267323826980832.html

Except from my blog:

Wash sales are a big problem.
One leading broker reported a $450,000 wash sale loss, but the trader couldn’t have lost more than the $50,000, the total she had in her account during the year. The broker’s wash sale program must be piling up wash sale loss deferrals without any adjustment or analysis of subsequent positions. Another top broker kept an old wash sale open from earlier in the year, even well after the client fully absorbed that wash sale loss deferral with subsequent capital gains on that same symbol. Another top broker told our software partner that they adjust wash sales to proceeds, when they should be adjusting wash sales to cost basis only. These wash sale errors are ridiculous and will likely result in tax notices.

Our CPAs founds a few key problems with IB reporting, too. They are the broker mentioned above that kept an old wash sale open way too long.

File and extension and wait for these problems to be further sorted out.
 
Robert - On a related subject:

Do you find that many brokers handle reporting of forex transactions like IB does? They don't consider them section 1256 transactions and don't report anything related to forex trades on the 1099s. When I asked about this they suggested I review IRS publication 550. I did which of course clarified nothing for me.

Since I've been earning money, the IRS is seeing taxable gains on my return that aren't reported by my broker. Perhaps this means the IRS won't be asking me to explain versus if I was reporting losses but it has never felt right to me.
 
As a side note:
Folks what we got here isn't really a broker problem.
What we got here is an IRS code problem.
This stuff could easily be so simple.
Incredible.
 
Quote from BSAM:

As a side note:
Folks what we got here isn't really a broker problem.
What we got here is an IRS code problem.
This stuff could easily be so simple.
Incredible.
More...

They have a built-in implicit conflict of interest to make things as complicated as possible, to justify their fully staffed existence. :) No offense, IRS.
 
Quote from BSAM:

As a side note:
Folks what we got here isn't really a broker problem.
What we got here is an IRS code problem.
This stuff could easily be so simple.
Incredible.
More...


so true...here is a perfect example-

http://www.voxeu.org/index.php?q=node/941

In January 2001, Russia introduced a fairly dramatic reform of its personal income tax, becoming the first large economy to adopt a flat tax. The Tax Code of 2001 replaced a conventional progressive rate structure with a flat tax rate of 13 percent. Over the next year after the reform, while the Russian economy grew at almost 5% in real terms, revenues from the personal income tax increased by over 25% in real terms.
More...

IRS create nothing,but problems for us.. and themselves. they like IB TWS programmers..f** the s**t up just to keep themselves busy..

current US tax system is not only complicated,intimidating and extremely aggressive when it's comes to the punishment. it's completely counter productive. it's got up to the point,when it's may seriously not worth the hassle to do anything. just because of taxes and possible complications with IRS.
 
I should note that the wash sales IB reported were far in excess of what they should have been however my actual calculated gain for the year appeared to be correct. Like the woman in the example with the 450 K wash loss , mine was crazy as well. IB calculated a 54 K wash loss on my QQQ trades – this is impossible because my total loss for 2011 trading the QQQ was only about 2 K most of this was made up of small losses. I keep a very small amount in my IB account as well – only about 30 K which is enough for the type of trading I do. Someone at IB did look into this but said that IB calculated this correctly. Something about calculating wash sales on intraday trading lot by lot. Bottom line I got the proceeds and costs basis on my schedule D to tie back to the 8949 from IB with what looked like the correct gain for the year after taking wash sales into consideration. I think not having these numbers tie would trigger a notice more than some crazy wash sale numbers. My concern will be 2012 when these wash sales go away. I will not trade the QQQ for the month of March , I have traded it for January and February. I will also not trade the QQQ in December is I have any loss going into that month from prior trades. My wash sales should go away but will IB now show a taxable loss of 54 K when all is said and done !!! ??
One other note – because all my QQQ trades were shorts the wash sale adjustments were made to my proceeds not my cost basis. Both Ib and Schwab did this.
 
Quote from musicman:

I should note that the wash sales IB reported were far in excess of what they should have been however my actual calculated gain for the year appeared to be correct.
More...

If you have a wash sale that with a disallowed loss, then that loss can be absorbed into a subsequent gain. So if you are only trading one security you could probably work your way back from the last trading day in Dec 2011 and see what kind of wash sales happened at the end of the year and if up to that point the previous wash sales had been absorbed into gains. Then you might be able to calculate your disallowed wash sales that will carry over into 2012 without too much headache. Or you can buy something like TradeLog to be sure what is going on. Trying to calculate wash sales by hand has always been a frustrating experience for me in the past.
 
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