New G2 White Paper -- Phase III Cost Basis Reporting: A Guide to Complying with Expanded Transfer Statement Information Requirements
In April 2013, the U.S. Treasury Department and IRS issued final regulations for Phase III of the Cost Basis Reporting (CBR) requirements, which address certain securities futures, debt instruments and options. Our new white paper explains how to comply with the Expanded Transfer Statement Information Requirements (§1.6045A-1) set forth in this third and final implementation phase of the CBR reporting law. According to the Transfer Statement Enhanced Information Requirements, when a broker transfers certain securities futures contracts, debt instruments, and options (as defined by §1.6045-1(a)(18)) to another broker, key pieces of data must be reported to the receiving broker. This reporting is mandatory for transfers on or after January 1, 2015, when the securities are acquired after January 1, 2014.