Have over 150K stock trades with over 10mil sales volume (but with small profit), cannot be imported into TurboTax, what do I do?

[bah9681]

Yes fanfare, I am talking about 2021 as I am now a "professional trader" and this is my full time job as of 2021.   

[fanfare]

come back in a year and I'll post how to do schedule C and 4797  for a sole proprietorship MTM trader, using TurboTax. cd/download.

[fanfare]

Be proACTive and check out the other major TAX software vendors, one of which will allow you to attach PDF for Schedule D details after aggregation of Category A trades with or without adjustments..

Category A trades without adjustments do not require filing on Form 8949 and no mailing is necessary.

But TD Ameritrade won't separate them for you.

[bah9681]

Yep I got you fanfare.   I do wish TT would make the fixes as I am kinda locked into TT with depreciation schedules etc. and I strongly prefer them to being proACTive.  

[bah9681]

From my limited understanding you need to do a MTM election by tax date in 2021 if you intend to be a MTM trader in 2021.  I would strongly like to do that if that means I don't need to report every transaction in Form 8949.  However I haven't analyzed all the pros and cons, taxwise yet and will be scouring the message boards and Internet sites to see if it makes sense for me to do.  

[Anonymous_]

---

@bah9681 wrote:

....will be scouring the message boards and Internet sites to see if it makes sense for me to do.  

---

You might want to start with the the link below.

https://www.thetaxadviser.com/issues/2010/feb/sec475mark-to-marketelection.html

[bah9681]

Hello Fanfare,

Without stealing your thunder on posting how to do the MTM accounting next year, could you briefly let me know if you have to list every stock transaction or just a summary when doing MTM?   And also, can you do MTM within TurboTax, does it support doing that?  

Thanks in advance.

[fanfare]

you have to supply all your transaction details, which means you have to mail in your return, since you can't attach the PDF.

" can you do MTM within TurboTax"

 Yes, I just said that, if you are a sole proprietor.

[bah9681]

Interesting thanks fanfare.  With still having to provide transaction details in MTM accounting, then don't see how it makes things too much better or easier when you have a very high number of trades like me.   Documenting hundreds of thousands of transactions like that comes at a cost.  Maybe better just to trade in the retirement accounts since I don't have to deal with the tax mess.  

[fanfare]

as an active investor, if you avoid Wash Sales, you don't have to detail anything. no mailing is necessary.

You might also slow down and look for a more efficient trading plan.

[fanfare]

that is active in stocks, options , and straight futures contracts

[rjs]

@bah9681 

Champion tagteam just discovered that there is a new worksheet in the CD/Download TurboTax software for 2020 that allows the entry of sale proceeds and basis up to $999,999,999. This is not available in TurboTax Online (at least not for now). It is accessible only in forms mode in the CD/Download TurboTax software.

The worksheet is called the Capital Gain (Loss) Adjustments Worksheet. It links to a specific entry on the Form 1099-B Worksheet (which represents one line on Form 8949). If you decide to use this, when you first open a Capital Gain (Loss) Adjustments Worksheet, click Help Center at the top right and read the instructions for using the worksheet.

[bah9681]

Great to hear thank you for very much for that information.   Do you also happen to know if the new 2020 addition allows a user to attach a file?  Due to the import issue, I will need to attach a .pdf of my Form 8949 (Gain/Loss Report w/ Wash Sales) that I receive from my broker.   Other tax softwares allow the user the ability to do a Form 8953 and attach a file, but I would really like to stay with TurboTax.

[rjs]

As far as I know, there is no provision for attaching a PDF.

I'm sure you meant Form 8453. There is no Form 8953. Form 8453 is used for paper attachments that you have to mail to the IRS after you e-file your tax return. If a PDF attachment is included in the e-filed return you don't need Form 8453. TurboTax will produce the Form 8453 for you if it is needed.

[km29492]

Download the PC addition and you will be able to import everything.