Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
did Vanguard record the step-up in basis?
Old 09-19-2017, 12:41 PM   #1
Recycles dryer sheets
 
Join Date: Feb 2017
Location: SF Bay Area
Posts: 98
did Vanguard record the step-up in basis?

I was talking with my mom last night and she told me that when my father passed away 18 yrs ago that Vanguard would not record the step-up in basis. VG told her that she would have to track it. So now every year she gets a 1099 from VG that has an incorrect cap gain figure, which her tax accountant has to manually correct. She said that Merrill Lynch was able to update her accounts without issue, but not VG. Anyone else have this experience with VG? I'm thinking perhaps their systems are more robust today and perhaps today it would be possible, where in 1999 is was not.

She said that they had several VG & ML accounts held in a revocable trust, both mom & dad were trustees. Mom is now the sole trustee.

I'd sure like to get this straightened out for her if possible.
__________________

__________________
ocean view is online now   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 09-19-2017, 12:54 PM   #2
Thinks s/he gets paid by the post
 
Join Date: Apr 2011
Posts: 1,440
If the funds/stocks are still owned by the same entity; i.e., the same trust, I could see a problem.

So perhaps move the assets to another account.

Were the ML accounts in the same trust?
__________________

__________________
gerntz is offline   Reply With Quote
Old 09-19-2017, 12:59 PM   #3
Recycles dryer sheets
 
Join Date: Feb 2017
Location: SF Bay Area
Posts: 98
Quote:
Originally Posted by gerntz View Post
If the funds/stocks are still owned by the same entity; i.e., the same trust, I could see a problem.

So perhaps move the assets to another account.

Were the ML accounts in the same trust?
Yes, the ML accounts were in the same trust as the VG accounts.
__________________
ocean view is online now   Reply With Quote
Old 09-19-2017, 01:23 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jun 2005
Posts: 8,507
Financial institutions were not required to track cost basis until about 2012 or so, so Vanguard never really reported cost basis of anything to the IRS until tax year 2012, but only for shares purchased after then.

And if one looks at a 1099-B and the IRS forms for reporting that info, even if the 1099-B has a cost basis, you got your Form 8949 codes A, B, C, D, E, and F that deals with all this.

And even places that kept great track of cost basis and told you what it was didn't report it to the IRS (codes B and E).
__________________
LOL! is offline   Reply With Quote
Old 09-19-2017, 10:19 PM   #5
Recycles dryer sheets
 
Join Date: Feb 2017
Location: SF Bay Area
Posts: 98
Thanks, I'll pass this info on to Mom.
__________________
ocean view is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Step Up Basis (Real Estate) Question ExFlyBoy5 FIRE and Money 29 07-20-2017 02:37 PM
Did we set a new record today? Blue Collar Guy Other topics 2 07-11-2017 07:02 PM
"step up in basis" rule ratface FIRE and Money 17 07-22-2015 08:03 AM
Vanguard funds' track record ats5g FIRE and Money 24 08-12-2008 11:24 AM
I did a step class last night and enjoyed it retiringat50 Health and Early Retirement 6 07-19-2008 01:22 PM

 

 
All times are GMT -6. The time now is 10:22 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.