Tax Lot Accounting

• Accommodates high transactional volumes
• Automatic cost basis allocations
• Breakdown of both long and short term positions by tax lot
• Breakdown of open and closed tax lots
• Gain / loss posting
• Multiple levels of account detail (lot, asset, summary totals)
• Supports clients’ specific Type of Entry codes

Profit / Loss Optimization

• For closing transactions, account settings can be configured to optimize profits or losses.
• FIFO - First In First Out
• LIFO - Last In First Out
• STGL - Short Term Greatest Loss
• STGP - Short Term Greatest Profit
• LTGP - Long Term Greatest Profit
• LTGL - Long Term Greatest Loss
• Specific Identification
• Average Cost

Financial Instruments Supported

• Equities (Domestic, Foreign, ADR’s)
• Options (Equity / Index / Currency)
• Corporate Bonds (Convertible / Non-Convertible)
• Government Bonds
• Mutual Funds
• Exchange Traded Funds
• Municipal Bonds
• Unit Investment Trusts
• Real Estate Investment Trusts
• Limited Partnerships

Corporate Action & Debt Related Event Support

• Automated cost basis allocation for:
  • Income Distributions
  • Forward Stock Splits
  • Reverse Splits
  • Mergers and Acquisitions
  • Return of Capital
  • Return of Principal
  • Liquidations
  • Redemptions

Additional Product Features

• Integration with Monthly Statement Reporting
• Integration with 1099 Reporting
• Ability to show messages by security –e.g. versus purchase for specific identification purposes as required to keep as evidence for tax records

Regulatory and Compliance

• Regulatory compliance
• Reconciliation reporting is provided to ensure the Tax Lot Accounting System information matches that of the core books and records.
• Identification and basis adjustments on Wash Sales

Reporting

• Trade date and settlement date reporting
• Tax Lot Report
• Realized Gain and Loss (Schedule D)
• Trading Account Summary
• Detail Listing
• Cancellation Report
• Pricing Exceptions
• Dividend Extension Report
• Balances and Holders Comparison
• Edit Listing
• Option Apply Premium Report

Income Cash Flow

• Multiple income periods (period to date, month to date, quarterly, annual, and inception to date
• Position and lot level income cash flow including estimated annual income and pending cash and stock dividends on ex-date
• Ability to report M-T-D and Y-T-D income and expense totals within an account for: State Tax, Dividends, Bond Interest, Interest Charges, Commissions and other account expenses

Technical Features

• Ability to interface with books and record systems
• Open database for custom query, report writing and data export
• Export to popular tax software and downstream books and records systems
• Ability to import tax lots from other brokerage firms on ACAT positions through the DTCC Cost Basis Reporting System (CBRS)
• Available as Davidsohn Software-On-Demand™