I have investment in a company that's in bankruptcy how do I need to file it?

[PatriciaV · Accepted solution]

You have nothing to report at this point. You will not have a gain or loss on this investment until the company exits from bankruptcy. There may be a change in market value (not a taxable event) or the company may dissolve. If your investment becomes worthless at that point, you would report this as an investment loss (short- or long-term, depending on the length of time you owned the investment).