topic Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant? in Retirement tax questions

Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant?

canyonbreezetax — Mon, 07 Dec 2020 12:53:28 GMT

Day trading stocks with an IRA and multiple brokerage accounts.

Re: Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant?

Critter-3 — Mon, 07 Dec 2020 12:57:54 GMT

How do I enter a large number of stock transactions in TurboTax Online?

TurboTax Online is equipped to handle around 500 individual transactions (give or take) per brokerage account before performance starts to deteriorate.

If you need to enter a bunch of stock transactions with a total sales volume of less than $10,000,000 (ten million), you can enter a summary for each sales category. Instructions follow.

Another alternative is to switch to the TurboTax CD/Download software which handles around 2,000 individual transactions per brokerage.

How to enter a summary in lieu of individual transactions

Your brokerage statements should include a summary of your transactions, grouped by sales category, for example "Box A short-term covered" or "Box D long-term covered". You'll enter the summary info instead of each individual transaction.

Open your return in TurboTax Online (if it's not already open) and search for stock sales in the upper-right corner.
Click or tap the "Jump to" link in the search results.
Answer Yes to both Did you sell any investments? and Did you get a 1099-B?
- If you land on Here's the investment sales info we have so far, select Add More Sales. Then answer Yes to Did you get a 1099-B?
On the Choose Your Bank or Brokerage import screen, select I'll type it in myself.
Select or enter your brokerage on the next screen and continue.
On the following screen (Tell us about...) select the second option, I'll enter a summary.
On the same screen, enter the total proceeds (sales) and cost basis, along with the sales category. Refer to your 1099-B for the amounts and category. When finished, select Done.
Follow the onscreen instructions to enter additional sales or to view a summary.

When you are done entering all your sales transactions, you'll eventually come to the Here's the investment sales info we have so far screen. Here you can edit, delete, or enter more sales.

Related Information:

How do I switch from TurboTax Online to the TurboTax software?

Send in broker’s statement …. https://ttlc.intuit.com/replies/5851624

Re: Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant?

canyonbreezetax — Mon, 07 Dec 2020 13:41:44 GMT

Thanks but that is pretty much a copy and paste of what I've already read and doesn't directly address the questions.

Re: Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant?

rjs — Mon, 07 Dec 2020 13:53:34 GMT

The basic answer to your question is No. TurboTax will not handle all of the things you listed. It will not do what you want.

TurboTax is not designed for traders or for high volume trading. It does not analyze your trades and identify wash sales. You have to tell TurboTax if a particular sale is a wash sale.

You enter only sales into TurboTax, not purchases. And you do not enter transactions in an IRA at all, since transactions in an IRA are not reported on your tax return.

Re: Can TurboTax handle importing of 3500 transactions across several accounts? Wash sales across accounts and trading in an IRA? IRS Sections 1091 and 475(a) compliant?

fanfare — Mon, 07 Dec 2020 14:53:59 GMT

as an active investor, look up "aggregation" by sales category, particularly "Exception for Category A" .

If you are a professional Trader, you can't aggregate and have to itemize everything.

Brokers don't exchange stock trade info so if you have several brokers and are trading the same stock with two brokers you have to do your own wash sale tracking and reporting. For this reason, don't do that.

On the other hand if you are a professional trader, there is no wash sale rule.

Being an active investor doesn't qualify you for Professional Trader status.