IRS will force Brokers to report basis in 2010!
It seems that the IRS will be forcing Stock Brokerage Firms to report stock basis information when their "customers sell securities such as stocks, mutual funds, options and bonds".
What this means is the individual taxpayers will both readily be able to prepare their schedule D schedule and all the guessing will be eliminated and thus ensure more accurate basis information. The IRS was concerned that in previous years that the taxpayers were not correctly reporting the proper basis in an attempt to deliberately show a higher stock basis, thus avoiding to pay the proper capital gains tax.
It is worth noting that the new rules will apply to securiites purchased after 2009, hence the rule would appear to be effective from tax year 2010!