#constructivesale

[taxblog]

Strong Turnout for “Wash Sales: A Closer Look” Webinar

Thank you to our many attendees for participating in Wash Sales: A Closer Look, last week’s 2nd Taxable Events Webinar. George Michaels, our resident authority on tax analysis/accounting of securities transactions (TAST) led an advanced discussion of section 1091 of the tax code.

Michaels focused on “wash sale rule headaches” and here’s some of what he covered. He discussed chaining/rolling, which is how cost basis adjustments for one wash sale can affect another lot’s holding period, basis and calculation of gain/loss; he also talked about branching/sublots, which addresses instances when the disposed and replacement lots do not contain the same security size; when discussing substantially identical securities, Michaels referred to the seminal court and revenue rulings that dictate what constitutes material differences when comparing securities.  

After the presentation, Michaels and Daniel Tilkin, G2 partner and senior tax analyst, fielded a number of attendee questions including whether contributed securities can trigger the wash sale rule and if total return swaps are considered contracts to acquire.

We hope attendees found the webinar informative. Please click here to access a recording and pdf of the slide presentation, which are available on our website. We are already planning our next webinar, Constructive Sales: The Exceptions. Click here to read our white paper on this topic. To learn more about this upcoming webinar and other Taxable Events webinars, visit our webinar section. For additional TAST resources, visit our Resource page.

[taxblog]

The More Relevant Information the Better: G2 Taxable Events Webinar Series

Google makes you smarter. Agree or disagree, this search engine provides millions of people with access to countless resources that can be used to help them make more informed and more accurate decisions. In other words, the more relevant information, the better. This sentiment could not ring more true as it relates to tax accounting /analysis of securities transactions (TAST), arguably the most costly and complex part of accurately generating a fund’s book to tax adjustments.

Ask any fund tax practitioner or compliance officer and they will agree – identifying, say, when a non-wash sale becomes a wash sale because of the effects of a straddle – is anything but easy.  However, with more readily available, practical and relevant information on TAST best practices – this complex business problem can become much more manageable. More relevant information on TAST best practices can help firms avoid non-compliance with the Internal Revenue Code (IRC) and costly regulatory scrutiny and sanctions. Proponents of “the more relevant information is better” approach, we are very excited to announce our CPE-eligible, complimentary web seminars about taxable events and investment portfolios. These webinars are in addition to our other TAST Resources.

We’re not the only ones who espouse the “more relevant information is better” approach when it comes to TAST best practices. The Hedge Fund Law Report, a definitive source of actionable intelligence on hedge fund law and regulation, just published the final article of a four-part series about TAST best practices, “Tax Practitioners Discuss Taxation of Swaps, Wash Sales, Constructive Sales, Short Sales and Straddles at FRA/HFBOA Seminar.”

Learn more about our inaugural webinar, Wash Sales, Constructive Sales & Straddles: A Primer, 1:00- 2:00 p.m. EST, Thursday, March 13. To read our TAST white papers, click here.