From: owner-persfin-digest@lists.xmission.com (persfin-digest) To: persfin-digest@lists.xmission.com Subject: persfin-digest V5 #126 Reply-To: persfin Sender: owner-persfin-digest@lists.xmission.com Errors-To: owner-persfin-digest@lists.xmission.com Precedence: bulk Content-Transfer-Encoding: quoted-printable X-No-Archive: yes persfin-digest Tuesday, February 1 2000 Volume 05 : Number 126 In this issue of the Personal Finance Digest: Re: capital gain (on sale) questions Sale of Car The messages posted to the Persfin-Digest are opinions and are not intended to substitute for qualified professional advice. Subscribers should seek the services of qualified professionals for such advice. The publisher, Internet provider, and Digest contributors cannot be held responsible for any loss incurred as a result of the application of any of the information provided here. To ask questions or provide answers, send your email to "persfin-digest@lists.xmission.com". Also, you can "reply" to the persfin-digest and your email tool should fill in the same address. However, if you "reply", be sure to edit the subject field in your email to reflect your topic. Copyright (c) 1999, Jeff Salisbury POSTED SUBSCRIPTION FEE: $20/year. Payment is optional. You will not be billed. The Digest is available to all subscribers, whether or not they pay. I do not discriminate either in favor of paying subscribers or against nonpaying subscribers. If you feel that the information presented here is worth the fee, and you feel comfortable paying it, send cash, check, or money order (U.S. funds), payable to "Jeff Salisbury", to: Jeff Salisbury 65 North 1300 East Logan, Utah 84321 Payment will be acknowledged by e-mail if you include an e-mail address. Subscribe: e-mail majordomo@xmission.com, text: subscribe persfin-digest Unsubscribe: e-mail majordomo@xmission.com, text: unsubscribe persfin-digest ---------------------------------------------------------------------- Date: Sat, 29 Jan 2000 21:41:51 -0500 From: Rich Carreiro Subject: Re: capital gain (on sale) questions >1. 1099 forms - all they show is the gross amount sold. So I have to > calculate the capital gains on the sale of the funds myself? Yes. >(how does the IRS check?) If they audit you (or your relative) they may demand to see substantiation for the basis figures you used. >2. a. Any way to estimate, or do I need to go back and hand > calculate - the $150,000 portfolio had an initial investments in 3 > funds and monthly reinvestments for over 5 years! You need to go back and calculate it. Reinvestments are treated as additional purchases (which they are). >(any ideas/way to estimate if I can't find one or more of those 60+ >statements?) Well, assuming you never sold any before, the total basis will be the sum of all the purchases ever made. You know how much "out of pocket money" went into the funds and you know by looking at old tax returns (the 1099-DIVs from all those years) how much in dividends and distributions were paid out, so if all dividends/distributions were reinvested, you know how much extra went into the funds. > b. The $100,000 is not as difficult - earnings were paid out, > not reinvested, but it was bought over 10 years ago - anyone > know where I can get fund quotes that far back - I can > probably get to within one quarter of when it was originally > bought. You don't need quotes. If all dividends/distributions were taken in cash, the basis in the fund never changed. All you need to know is how much money was put into it. That'll be the basis in that fund. >Any help appreciated, especially any guidance on estimating if the >paperwork can't be found. :( Just on general grounds, consider checking out http://www.fairmark.com and read their pages on how mutual fund taxation works and on how capital gains and losses work. Rich Carreiro rlcarr@animato.arlington.ma.us - - ------------------------------ Date: Tue, 1 Feb 2000 21:22:35 -0500 From: "Peter & Karen Diamond" Subject: Sale of Car Hello everyone, I use my personal car for my business. I have been using the standard mileage rate for depreciation, and it has never been above 50% business use. I traded in the car last year when I bought a new one. I can't find any specific information about how I treat this for tax purposes. Will I have to report this is a depreciation recapture? Is it a capital gain/loss? Could there be a loss from this if the sale price of the car is less that the accumulated depreciation? Does anyone know which IRS forms/pubs have more information about this? Thanks for any information. Peter Diamond - - ------------------------------ End of persfin-digest V5 #126 ***************************** - To unsubscribe to persfin-digest, send an email to "majordomo@xmission.com" with "unsubscribe persfin-digest" in the body of the message. For information on digests or retrieving files and old messages send "help" to the same address. Do not use quotes in your message.