Hi,
I traded USO etf on 2020, resulting in a capital loss on my Roth IRA.
But I haven't received the schedule K-1 for this (not one before this either) - do I have to get it for my tax return for 2020? If so, should I use https://www.taxpackagesupport.com/USO? This webpage (https://borgidacpas.com/2021/4-reasons-not-to-wait-for-your-k-1/) recommended not to wait for it, but I'm not sure what I exactly need to do in my situation.
I also wonder if I could do tax loss harvesting from this capital loss, in case when I could and should report the K-1.
Gains and losses from an individual retirement account are not reportable on your tax return. You cannot claim a loss from the sale of an ETF within your Roth IRA nor do you have to report a capital gain from the sale of an ETF.
Additionally, you do not have to enter a Schedule K-1 into TurboTax if the investment is part of your Roth IRA.
Gains and losses from an individual retirement account are not reportable on your tax return. You cannot claim a loss from the sale of an ETF within your Roth IRA nor do you have to report a capital gain from the sale of an ETF.
Additionally, you do not have to enter a Schedule K-1 into TurboTax if the investment is part of your Roth IRA.
Thanks @ErnieS0 , that was my understanding, until I saw a message from Fidelity that it may be possible/necessary to include that Schedule K-1, because the ETF USO is special.
But it seems not the case, am I understanding correctly?
Hi @Jayyyyy. I think Fidelity sends out those messages without regard to where the investment is. You do not have to report it.
There is one special case related to Unrelated Business Income for tax-exempt organizations, which Tax Expert @DianeC958 points out in I received a Schedule K-1 for an investment in an IRA account. Should a Schedule K-1 been issued for an investment in an IRA account?
This would not apply in your case.