Get the free Cost Basis Election Form

This form is used to elect or change the cost basis method for covered shares held in an account managed by Forward Funds, as required by IRS regulations.

How to fill out cost basis election form

How to fill out Cost Basis Election Form

1. Obtain a copy of the Cost Basis Election Form from your brokerage or tax advisor.
2. Fill in your personal information, including your name, address, and Social Security number.
3. Provide the details of the transactions for which you are electing a cost basis method.
4. Choose the cost basis method you wish to elect (e.g., FIFO, LIFO, Specific Identification).
5. Review the form for completeness and accuracy.
6. Sign and date the form.
7. Submit the form to your brokerage or appropriate tax authority as instructed.

Who needs Cost Basis Election Form?

1. Individuals who have sold securities and need to report gains or losses on their tax returns.
2. Investors who want to choose a specific method for calculating cost basis for tax purposes.
3. Those who have received dividends or distributions from investments and must report these on their taxes.

For pdfFiller’s FAQs

What is Cost Basis Election Form?

The Cost Basis Election Form is a tax document used by taxpayers to report their cost basis for securities sold during the tax year. It allows taxpayers to elect the method by which they will determine their capital gains or losses on these assets.

Who is required to file Cost Basis Election Form?

Individuals and entities that sell securities and report capital gains or losses on their tax returns are required to file the Cost Basis Election Form, particularly if they choose a specific method for determining cost basis.

How to fill out Cost Basis Election Form?

To fill out the Cost Basis Election Form, taxpayers must provide details such as their name, Social Security number, a description of the securities sold, the purchase date, the sale date, and the chosen method for calculating cost basis (e.g., Specific Identification, First-In-First-Out).

What is the purpose of Cost Basis Election Form?

The purpose of the Cost Basis Election Form is to provide the IRS with information on how the basis of sold securities was determined, ensuring the correct amount of capital gains or losses is reported for tax purposes.

What information must be reported on Cost Basis Election Form?

The information that must be reported includes the taxpayer's identification, details of the securities sold (like the name and number of shares), the dates of purchase and sale, the selling price, the cost basis, and the method of basis calculation selected.