Re: [amibroker] OT - Tax Q - Sched D (New Thread: was TC2000/TCNet/TC2005 and QP), AmiBroker Email List Archive

----- Original Message -----

Sent: Tuesday, June 28, 2005 12:58 AM

Subject: Re: [amibroker] OT - Tax Q - Sched D (New Thread: was TC2000/TCNet/TC2005 and QP)

Hi Steve,

The short answer: AFAIK, the IRS doesn't require you to list trades by brokerage, just the list the individual trades with purchase amount (basis) and sale price to show profit (loss) plus holding period and the total proceeds on the Sch D. The Sch D is supposed to match the total from all Sch D-1s and the 1099s provided by your brokerage. That said, here's what I have been doing for many years.

The longer answer: Years ago I built my own Excel spreadsheet for tracking trades, partly to stay on top of quarterly estimated tax payments and for Sch D purposes and partly to monitor my trading (win-loss ratios, profitability, ROI, trade duration, that sort of thing). The spread sheet has separate sheets for each account and a summary collection sheet with linked cells for the gross and net figures from each brokerage by quarter and end of year. So in many ways, it functions like (what I understand) Gainskeeper does, just I have more manual data entry (well, actually download and paste from the brokerages), but more flexibility and info for my use.

But when I file, I reflect the summary totals of all accounts on the Sch D, and complete as many Sch D-1 pages (I have used Turbo tax to generate these) as necessary to list all my trades chronologically without regard to what brokerage account they came from. Because I generally have short positions held at year end (and I've not elected MTM status), I always attach an explanation as to why the brokerage 1099 totals do not match the total I am reporting (which is less). I note that I have multiple brokerage accounts and multiple 1099s, that the figures on the Sch D are the totals for all brokerage activity less the hold over short sales which have not realized a gain or loss as of the end of the tax year and I detail (format like a Sch D-1) the short positions that are open to show that if their "sales" were added to my Sch D figures, the brokerage 1099's and this figure would be in agreement. This letter also accounts for any other matters that I think might raise a question and notes what happened (e.g., multiple wash sales in one security, long term sales from any of the investment accounts in a security I also traded, etc.). I used to provide the spreadsheet with my tax return as well, but for the past 4 or 5 years I've simply stated in the letter that I also have an accounting for all trades by brokerage, as well as confirm slips/monthly statements should they be needed for review. I've never been asked for them (nor audited for that matter - knock on wood), but then that may be a function of the number of Sch D-1 pages I submit and the detail included in the rest of my return on several Sch Cs (other businesses) and E's (partnerships, rental properties) 2 Sch Fs (farming income) and other activities convinces whomever that I can back up what I report. In any event, I don't try to push the tax envelope either, I could probably deduct more items here and there, but every thing is easily proven and I always keep an envelope of "Oh what about these?" things each year in case I ever do get audited. I have heard of folks who say they just provide the spreadsheet and the summary on the Sch D, but what I've done seems to work and why mess with something if it ain't broke.

And yes, I do my own returns (I haven't found a CPA that adequately understood all the facets of my activities). Suffice to say as well, I don't try to file electronically. And for anyone reading, this isn't tax advice, get your own lawyer, CPA or do your own research -- you're on your own.

Peace and Justice --- Patrick

----- Original Message -----

From: Steve Dugas

To: amibroker@xxxxxxxxxxxxxxx

Sent: Monday, June 27, 2005 4:17 PM

Subject: Re: [amibroker] TC2000/TCNet/TC2005 and QP

Hi Patrick - a quick question if I may:

How do you reconcile Schedule D's when you have multiple brokers? I have multiple accounts this year for the first time. Both offer Gainskeeper ( free online version I guess ), but I am wondering what is the best way to combine them into one Sched D. Thanks very much!

Steve

----- Original Message -----

From: NW Trader

To: amibroker@xxxxxxxxxxxxxxx

Sent: Saturday, June 25, 2005 2:00 AM

Subject: Re: [amibroker] TC2000/TCNet/TC2005 and QP

Hi Bob,

It's been a while since we've exchanged many thoughts, I hope you are well. What keeps you going back to QP?

Actually I've had both for years, along with multiple RT feeds as well. I'm sort of a belt and suspenders trader - most everything is backed up or has an alternative (computers, data feeds, brokerages, broadband and ISPs, even power with a generator system as I live in the country). IMHO, they complement each other -- each with different strengths and weaknesses. I'll try to summarize both.

The Pros:

QP has more fundamental fields exposed to AB in their API -- I particularly like having float info (I still use a variant of the Rich E's old PTATR for one exploration). And at least until recently (I mark it more or less with Janene's departure), the stock data had fewer errors and when it did was corrected quicker. Originally it ran much faster in AB and as I first started with it, I had a predisposition for it's scanning capability. If you use mutuals (I don't for timing or otherwise), they are included with in a subscription.

TC has intraday updates (I run several boxes while trading) albeit delayed, so I if I wish, I can then quickly run AB AAs on an entire database, not the several hundred at a time from eSignal. And they have their media general groups (like the industry monitors in QP), but listed within the sector so relative strength comparisons are much easier than building and maintaining composites.

The Cons:

The QP data base (as I seem to recall you also complaining) is far from clean -- I update my AB databases from the external ones each weekend and then clean up inactive tickers -- QP generally has hundreds whereas TC has a dozen or so. I've spoken often to tech support at QP about this, and the are always "surprised" by the number (I've sent them lists) and promise to look into it, but nothing changes and a new disk (with a current database) doesn't change the bad tickers. [In fact I spoke to them today again.] And while I don't use mutuals funds, I understand that they often fail to account for distributions and dividends promptly.

When there is a data problem with TC, they can take weeks to correct it. The program itself is something of a kludge of you are into writing your own indicators, and of course you have to deal with the idiosyncrasies of the Wordens (like, no ADX until just recently because they didn't think it had merit, still no CCI, ATR, etc.). True, with the most recent versions your can write your own custom indicators, but ADX is not one of them and ATR is impossibly long (over 30 steps for an ATR(10) ). And while there is some additional fundamental info in their database, it isn't available via the API. Mutual funds are an added subscription cost.

The upshot:

I'm in my 5th year with AB and long ago came to regard both TC and QP as merely end of day data feeds for AB. If I could find another data vendor that had the strengths of each, and perhaps not the weaknesses, I'd switch and probably quit. I run my end of day scans/exploration for watchlists on these databases (also verify data integrity between the two), but for trading I'm watching the RT data feeds - eSig, QuoteTracker fed by Prophet Finance, PCQuote, and brokerage streamers. I had IQ feed for a while but found it was too dirty and erratic. With the merger of Waterhouse and Ameritrade, I'll probably close one account and open an IB account (when Ameritrade got Datek, my account there got big enough and I added eTrade). With whom are you trading, any thoughts or recommendations?

Best wishes, and good trades.

Peace and Justice --- Patrick

----- Original Message -----

From: Bob Jagow

To: amibroker@xxxxxxxxxxxxxxx

Sent: Friday, June 24, 2005 7:41 PM

Subject: RE: [amibroker] Re: New, fixed TC2000/TCNet/TC2005 data plugin

I didn’t realize that you used TC2000x, Patrick.

Since I’ve tried it a few times, but always went back to QPlus, could you spell out why you picked it, given that you also have a RT feed?

Regards,

Bob

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Please note that this group is for discussion between users only. To get support from AmiBroker please send an e-mail directly to SUPPORT {at} amibroker.com For other support material please check also: http://www.amibroker.com/support.html