1.800.372.60781.800.372.6078
Menu

Extended Support Hours through Tuesday, April 18th

Published: April 15, 2017
Tagged: TradeLog, TradeLog News, Trader Taxes, active trader, 2016 taxes, IRS tax forms, tax software, filing extension, Form 6781, Form 8949, Form 4868, Service Provider, trade accounting, trade reconciliation, gains and losses

TradeLog User

A popular tax software launched a marketing campaign last year with the tag line, "It doesn't take a genius to do your taxes." They obviously weren't referring to having to prepare a trader tax return.

Trader taxes were never an easy task, and changes to IRS regulations governing investors and active traders over the last few years have made the job even more complicated. New securities are introduced to the market frequently and the IRS hasn't been keeping up... laws regarding how these securities should be treated for tax purposes are often vague and open to interpretation.

 

To try and remove some of the uncertainty and self-doubt most active traders feel when trying to calculate their gains and losses and file their trader taxes, we have been working diligently to make sure your TradeLog experience is as intuitive and user-friendly as possible while still maintaining our strict compliance with IRS rules governing trader taxation.

You asked and we listened.

TradeLog Help

Our normal support hours are Monday through Friday, 9:00 am to 5:00 pm EST.

As a courtesy to our valuable customers, we are offering extended support from Saturday, April 15th through to the tax filing deadline on Tuesday, April 18th.

Below we offer some guidelines to help ensure that you receive a timely response to your Support Request as we count down the days to the filing deadline:

To speed up the response time, please send us your TradeLog TaxFile using one of the following methods:

Please bear in mind that the current volume of requests is very high so we cannot guarantee a specific response time but we will make every effort to answer your request as soon as possible.

Don't think you'll make the deadline?

Getting a six-month extension to file is easy to do and gives you some clear advantages if you're feeling the time crunch. But there are some downsides to getting an extension; let's look at some of the pros and cons.

Extension Pros and Cons

Pros of Getting an Extension  

  1. It's easy and free. All you have to do to get six extra months to file your taxes is to file IRS Form 4868.  You'll automatically get until October 15th to get your returns filed. There's no fee for the extension.
  2. You'll avoid a late-filing penalty. Ordinarily, if you don't file your return by April 15th, you'll pay a penalty of 5 percent of the tax you owe for every month that you're late, with a maximum total penalty of 25 percent. If you file more than 60 days after the due date, the minimum penalty is $135 or 100% of your unpaid tax, whichever is smaller. If you file for an extension, however, you don't get charged a late filing penalty as long as you file by October.
  3. Your accountant will have more time for you. April is always a challenge to meet with your CPA or tax advisor face-to-face as they are under the gun to file all of their clients' returns by the deadline. By filing an extension, you will most likely have an easier time booking an audience with your accountant in May.
  4. Extensions aren't automatic audit red-flags.   Most of the time, an extension reduces your audit risk because you're less likely to make errors that panicking last-minute filers typically make.

The Cons of Getting an Extension

  1. Your refund will have to wait. If the IRS owes you a refund, you can't claim it until you file your tax return. So even though extending gives you more time to file, it also extends the wait time for your refund check.
  2. You'll still pay late-payment penalties and interest if you don't pay your tax bill now. Even if you get an extension, you still have to pay the tax you owe by April 15th. If you don't, you'll have to pay interest on the unpaid amount plus an extra 0.5 percent in penalties for every month that you're late. Those penalties are far less than the late-filing penalty, but they're big enough that it still makes sense to come up with a reasonable estimate of how much tax you'll owe and pay it when you file your extension.
  3. Preparing your return won't be any easier in October. The temptation after you file for an extension is to procrastinate and wait until the October deadline starts approaching to start working on your taxes. 

Of course, you'll want to consult with your accountant or tax advisor regarding whether or not filing for the extension suits your particular circumstances.

Approved Service Provider Badge Another advantage of filing an extension is that you can avail yourself of the services of our Approved TradeLog Service Providers. These qualified Providers can handle your trade accounting using TradeLog software from start to finish for any tax year your broker(s) can supply your trade history reporting, or, if you are having difficulty, simply pick up where you left off and send you the completed TradeLog tax forms.

We are excited to report that we will be expanding the list of Approved Service Providers available to our customers within the next month or so.

Please stay posted for the announcement!

Please note: This information is provided only as a general guide and is not to be taken as official IRS instructions. Cogenta Computing, Inc. does not make investment recommendations nor provide financial, tax or legal advice. You are solely responsible for your investment and tax reporting decisions. Please consult your tax advisor or accountant to discuss your specific situation.