[GNC] Addition to basis

[Brad Morrison]

Hi Fred/Derek/flywire/all,

Maybe I am just not understanding the situation as you are describing 
it, but I have not ever seen a 1099DIV (the USA's IRS form for 
accounting for dividend payments - 
https://www.irs.gov/forms-pubs/about-form-1099-div) that also listed 
basis adjustments on it...? But I have only seen a few foreign/non-US 
dividend statements...

I understood basis adjustments to be accounted for when the asset is 
sold and the most common adjustments for US stocks are wash sales, but I 
can't ever remember seeing those noted on a 1099DIV, they are usually 
recorded on a 1099B (https://www.irs.gov/forms-pubs/about-form-1099-b).

If the asset is not being sold/disposed of 
(https://www.irs.gov/forms-pubs/about-schedule-d-form-1040 & 
https://www.irs.gov/taxtopics/tc703), would just making a note that 
could carry forward to the next year be the easiest thing to do?

Maybe I am just not understanding, are there more details that you could 
share with us?

Thanks,

Brad

P.S. Although I like to include all the related emails in my response, 
Thunderbird (the email client I use - 
https://www.thunderbird.net/en-US/) is separating flywire's email, even 
though it has the same subject line, from Fred & Derek's emails...?


On 8/8/23 13:32, Derek Atkins wrote:
> Hi,
>
> On Tue, August 8, 2023 4:12 pm, Fred Tydeman wrote:
>> How does one record an Addition to basis for a stock?
>>
>> The splits involved are:
>>    Income: qualified div
>>    Income:  non-qualified div
>>    Expense: foreign tax
>>    Asset: cash
>>    Imbalance -- should be addition to basis
>>
>> I have tried changing the Imbalance to
>>    Asset: stock
>> with a price of 0.00, but gnucash adds shares with a price of 1.00
> ISTR there are "issues" with this...  Keep in mind, when entering data in
> the stock account, you need to enter TWO of the three values (#shares,
> price, and value), and GnuCash will compute the third.  Note that it's the
> #shares and total value that is stored, the price is always computed.  In
> THIS particular case, you can TRY to enter 0 shares and the change in
> value, but I'm not 100% sure GnuCash will like that.  It's been a while
> since I played in the stock accounts.
>
>> Please remember to CC this list on all your replies.
>> You can do this by using Reply-To-List or Reply-All.
> -derek
>