Cash method taxpayer must realize gain/loss on sale of stock in year of trade.: An article from: The Tax Adviser

This digital document is an article from The Tax Adviser, published by American Institute of CPA's on July 1, 1994. The length of the article is 592 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

From the supplier: Taxpayers selling publicly traded stock cannot use the installment method and must realize gain or loss on the sale in the year that the trade is executed. The installment method is generally available to taxpayers when at least one payment is made in a year after the year of the sale. Under IRC section 453(a), sale of securities is not eligible for this method. The IRS has ruled that payments made in subsequent years must be treated as received in the year that the stock trade was made, not in the year the sale was settled.

Citation Details
Title: Cash method taxpayer must realize gain/loss on sale of stock in year of trade.
Author: Jim Andrews
Publication:The Tax Adviser (Magazine/Journal)
Date: July 1, 1994
Publisher: American Institute of CPA's
Volume: 25 Issue: n7 Page: 434(1)

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