How do you account for a Payment in lieu of dividends when the short sale was less than 45 days and the short position was taken in December as well as the Payment in lieu of dividends was made in December, but the close of the short sale occurred in January the following year. The statement from my broker does not contain the basis of the stock as the transaction would not appear until next years taxes.
Do I use the last stock price in December as cost basis and adjust for Payment in lieu of dividends?
..or..
Do I wait until next year to adjust the basis?
Any Advice?
