Yes, all taxable income is required to be reported with or without a tax form.
If your investment has been with the same broker all along then you can use the date acquired provided by the broker. The bottom line for cost basis is that it is required to be tracked and known by you when you have 'noncovered' shares.
The difference between covered and noncovered shares is who keeps track of the cost basis.
- For covered shares, the financial organizations are required to report cost basis to both you and the IRS.
- For noncovered shares, the cost basis reporting is sent only to you.
Holding Periods:
- Long term: held more than one year (one year plus one day) - received special capital gain tax treatment
- Short term: held one year or less - taxed at your ordinary rate of tax
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