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.
Filing form 8621 for PFIC
Moderator: Global Moderator
Re: Filing form 8621 for PFIC
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...
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...
"Democracy is two wolves and a lamb voting on what to have for lunch." -- Benjamin Franklin
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Re: Filing form 8621 for PFIC
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. :-)
Re: Filing form 8621 for PFIC
Do a search in this very forum for GTU ... Someone even posted a sample form and info on how to exile with taxact