Tax repeal.

[Black Bart]

Gosh! Sec. 341 was repealed six years ago and here I never even knew it existed.

Anyway, it'll be a big help since it has sump'n to do with collapsible corporations and right off most of us probably know of one or two on the verge of collapse. You'll probably want to check out these stats, secs, and titles.

http://www.fourmilab.ch/ustax/www/t26-A-1-C-II-C-341.html

[DTS]

Stats

BB,

There just is not enough coffee in this house to be looking this over this morning!

[Black Bart]

Hi Dennis,

Slow goin' around here today, isn't it?

BB,

There just is not enough coffee in this house to be looking this over this morning!

I agree, and it'll probably take at least a good fifteen minutes to go through the stuff after I do get prepped up for it.

Whatcha been up to lately? Ever talk to Sandy anymore?

[S T]

Hi Bart

Hi Bart, I am around, and yes the Board is quiet today- Hope you are doing well!
and yes- Dennis and I do talk on a regular basis.
I am working on a "horrendous" Schedule D - that is filled full of wash sales, that the Broker did not report on the Schedule of Realized Gain Transactions- what a "PITA" and the client is not going to be happy.

Over $135,000 loss on stock transactions, that if I am lucky will produced allowed losses of approximately $35,000

I would guess it will be his "Broker's" problem, once I enlighten the T/P to the rules and regulations. Just glad that I was able to "catch it" before I filed the Tax Return

So let us know when you analyze this piece of information that you posted

Take Care,

Sandy

[erchess]

Lurking

I've been here several times today but unless I have had a lapse of memory I have not posted today. I think it would be interesting if the main page told us how many people are on the site now and how many have visited over the current day and for those who didn't opt out, who they are or were.

[DTS]

Hi Bart,

OK, I've been drinking coffee all day and I still can't make heads or tails out of that mess. How did you run across that wonderful piece of, uh, law-making? Probably looks like California's budget proposal that was supposed to be agreed on today. As of 3 today, still no phone call from Sacramento.

[OtisMozzetti]

wash sales aren't the end of the world, only a lot of work

...
I am working on a "horrendous" Schedule D - that is filled full of wash sales, that the Broker did not report on the Schedule of Realized Gain Transactions- what a "PITA" and the client is not going to be happy.

Over $135,000 loss on stock transactions, that if I am lucky will produced allowed losses of approximately $35,000
...

As you know,
if there is a net capital loss of $35,000 after you are lucky, then that will achieve the maximum allowable allowed capital loss for up to 11 years (22 years MFS) unless there are other gains to absorb those loss carryovers in the meantime. By that time, the remaining $80,000 of losses that may be disallowed on account of this year's wash sales will have almost certainly yielded the benefit of the additional amounts added to the cost basis of the replacement shares that brought about the wash sales.

[S T]

Thanks

OM
I have a huge Capital Gain from another source , like $300K- so I would like the Investment loss to offset- some of it- but that seems to be very quickly faiding away due to wash sales- and then the Wash Losses going into to 2009 added to stock basis is another factor.

This t/p needs to get a grip on his Stock Broker

Sandy

[erchess]

Back to BB's Point

One thing from the link jumped out at me. For tax years beginning after 12/31/08 the repeal is terminated. Does that mean it is reversed? Also can anyone tell us what a Collapsing Corporation really is? I have a strange feeling that CCs do not generally get their taxes done in house or by the big accounting and tax firms. I further suspect that to the people who need to know it this whole deal is old news. But I'd like to get confirmation just in case I am wrong.

[Black Bart]

Hooray!

One thing from the link jumped out at me. For tax years beginning after 12/31/08 the repeal is terminated. Does that mean it is reversed? Also can anyone tell us what a Collapsing Corporation really is? I have a strange feeling that CCs do not generally get their taxes done in house or by the big accounting and tax firms. I further suspect that to the people who need to know it this whole deal is old news. But I'd like to get confirmation just in case I am wrong.

Finally; after all these years -- somebody takin' me seriously! Thanks much, EC for the serious treatment of ridiculous subject matter. I too fully suspect that:

(1) It's reversed (but nobody cares) and is old news.
(2) No, of course nobody knows what a collapsing corporation is.
(3) For sure they don't get their taxes done by anybody here (well; maybe Bees or NYEA).

P.S. As a favor in kind, I hereby promise not to say another word to you about Ralph Nader (after this one -- yuk, yuk!).
Big business never pays a nickel in taxes, according to Ralph Nader, who represents a big consumer organization that never pays a nickel in taxes. -- Dave Barry

[JohnH]

Nady & Barry are both right.
Businesses never pay taxes - they are simply a collection agent for the government.

Their CUSTOMERS pay taxes via the pricing system, since whatever taxes businesses do remit are simply built into the costs passed along to the consumer as a part of the total price of the goods & services they buy from the businesses.