3/7/2012

“A new report from the research firm Celent finds that the new cost basis reporting requirements present an opportunity for tax preparers to offer specialized services and regain some of the market share lost to do-it-yourself tax preparation software.”

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“Turning 8949 Form Challenges into Revenue Opportunities”

Date:  Wednesday, May 16, 2012
Time:  1:00 p.m. PST/4:00 p.m. EST
Duration:  90 minutes
Cost:  FREE

Space is limited so sign up now!

Register now for this FREE webinar and learn the important details of Celent’s new white paper report, Cost Basis Reporting: Additional Revenue for Tax Professionals? The 90 minutes webinar will explore how disparate cost basis reporting procedures between retail investors and brokers have created significant challenges for retail investors reporting their tax returns to the IRS. These challenges will provide tax professionals with an opportunity to step in and provide valuable tax preparation and consultation services for investors.  Open to the public, Nico R. Willis, and Celent, will host this interactive webinar through an engaging and easy-to-understand presentation of the white paper report and what it means to you. This live presentation will be followed by an engaging question and answer session. Participants will also be eligible to receive a copy of the white paper report.

Sign up now!

After registering, a confirmation email containing information about joining the webinar will be sent to you.

A recently released White Paper, created by Celent (member of the Oliver Wyman Group),  discusses the new cost basis requirements and what it means for retail investors, their clients and the new challenges they face this tax year and going forward.

The report uncovers the perfect platform to bridge the gap between new legislation, tax extensions and the subject matter of creating revenue for tax professionals year round.

3/14/2012

“Users can upload a client’s 1099-B form to the 8949 Verifier, where any additional information or adjustments can be made.  When the information is complete, the reported cost basis information is automatically populated in the 8949 form, where the accuracy of the reported cost basis is verified and determines the adjusted cost basis of any security traded in the U.S.”

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Figuring cost basis is crucial to not overpaying taxes

Date: 3/15/212

Author: Matt Krantz

“Netbasis, available at netbasis.com, is a Web-based tool that helps investors find the cost basis on investments. This tool also requires you to have some information about the transaction, including the date of purchase.”

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In this short, five post series, we will break down the Top 5 issues of the new cost basis legislation that can impact taxpayers and investors; how investors can navigate each to avoid penalties, as well as how to minimize your capital gains tax responsibility.

Issue Number One:  Covered vs. Non-Covered

Thanks to some confusing stories in the media, many taxpayers believe their brokers will provide an accurate cost basis for their portfolios regardless of when the security was purchased.  However, this is not the case.  For the 2011 tax season, brokers are only legally required to provide clients with cost basis information for stocks purchased AFTER January 1, 2011.  This is known as a covered position and will result in cost basis information coming from the broker.  However, ANY security purchased BEFORE January 1, 2011 is known as a Non-Covered position and the broker is NOT required to provide cost basis.  The catch is that the taxpayer is required to accurately report cost basis for their entire portfolio whether the information is provided to them or not.

Because most people have portfolios that stretch back further than January 1, 2011 this is a key issue for the taxpayer to understand.  The IRS is cracking down on inaccurate cost basis reporting with fines up to $1000 for each mistake and $5000 if the agency can prove the taxpayer “willfully disregarded” the new rules.

Cost basis can be tricky to determine, but by using Netbasis, a powerful tool that automatically determines cost basis on any security back to 1925, tax payers can rest assured that the information they provide on their taxes is accurate.  Individual cost basis calculations are available for only $19.95.

We’ve got you covered!

You’ve heard that the saying that the only sure things in life are death and taxes, but for Netbasis users, that should be amended to death and accurate taxes.

The company, known as the industry leader for cost basis calculations, is putting its money where its mouth is, providing a $350,000 “penalty shield” that broadly protects institutional users of its patented Netbasis cost basis application.

The first of its kind in the nation, this policy, offered by an A+ rated insurance company through Netbasis Insurance Services, covers all federal penalties, up to $350,000, which are the result from any Netbasis software errors in the preparation of a client’s 8949/Schedule D Form.  This policy also covers any related public relations costs up to $100,000.

The “penalty shield” covers use of Netbasis by tax professional users “solely in the performance of providing cost basis calculation to others for a fee,” and is in force on any calculation, even a security that has been held for decades and has a complex history of corporate action events.

Now that’s putting our money where our mouth is!

What could make hump day a little brighter this tax season?  How about a free cost basis calculation?

With the new tax laws regarding cost basis, investors are scrambling to determine the correct calculations to avoid stiff penalties the IRS could levy for inaccurate reporting.

Determining accurate cost basis can be challenging, but Netbasis makes it simple by automating the process for securities that stretch back as far as 1925.  And now every Wednesday until the end of the tax season, Netbasis will give away one free cost basis calculation.  All you need to do is visit our Facebook page and post the name of the stock you need and the date of purchase.  One randomly chosen story will receive a free cost basis calculation!

Date: 2/13/2012

Author: Matt Krantz

“For instance, TD Ameritrade, a large broker, is opting to report the cost basis on many ETFs, but not all, says the company’s Becky Groves. “There’s a wide ocean of securities that investors could have sold in 2011, that they are responsible for, and the brokerage isn’t,” says NetWorth Services’ Willis.”

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