Filing form 8621 for PFIC

[luvpizzasj]

Hi everyone. In late summer of this year I bought HLSS in a taxable account. At that time, I did not know that this stock is recognized as PFIC. Sadly the new Turbo Tax '14 does not support it. As a result, I would have to file my return by mail instead of E-filing. Not to mention the need to file form 8621 and select an election which I don't really understand.

My holding of HLSS is only 250 shares with market value around $5K. I collected  $106.20 in dividends. If I sell my entire holding before the year end at loss, do I still have to file form 8621?

Thank you in advance for your feedback.

[sophie]

If you have to file that form (and it sounds like you do), then you have to do a paper return.  It's not Turbo Tax's fault, it has to do with form 8621 not available via e-filing.  I think there's a way to fool Turbotax into factoring the results of that form into your return, so you at least don't have to do the whole return by hand.

This is such a headache that it's a big reason why I got out of GTU in taxable, claimed my loss, and swore never to do that again...

[Libertarian666]

I don't know what the big deal is about the 8621. It's no worse than a lot of other tax forms, in my opinion, and well worth the improved capital gains treatment of GTU and CEF over physical gold or ETFs... assuming I ever have a capital gain in either of those again, of course. :-)

[dragoncar]

Do a search in this very forum for GTU ... Someone even posted a sample form and info on how to exile with taxact