Instructions For Form 1099-B - 2017 (Page 5 of 11) in pdf

These rules apply to:

after January 1, 2016, also provide the original basis of

Any broker,

the option and the fair market value of the option as of the

Anyone that acts as a custodian of securities in the

end of the prior calendar year.

ordinary course of a trade or business,

The adjusted basis, original acquisition date, holding

Any issuer of securities,

period adjustment, and the additional information for a

Any trustee or custodian of an individual retirement

debt instrument or option described above are not

plan, or

required if the transfer statement identifies the security as

Any agent of the above.

a noncovered security.

If the names of the customer(s) for the transferring and

These rules do not apply to:

receiving accounts are not the same, the transfer

The beneficial owner of a security or any agent

statement must also include the name of the customer(s)

substituted for an undisclosed beneficial owner,

for the account to which the security is transferred.

Any governmental unit or any agency or instrumentality

However, if the transfer is to or from an account for which

of a governmental unit holding escheated securities, or

a broker, custodian, or other person subject to the transfer

Any organization that holds and transfers obligations

reporting rules is the customer, the transfer statement

among members as a service to its members.

must treat the beneficial owner or, if applicable, an agent

Information required. Each transfer statement must

substituted by an undisclosed beneficial owner, as the

include:

customer for both accounts, and the broker receiving the

Date the statement is furnished;

transfer statement should treat the security as held for the

Name, address, and telephone number of the person

beneficial owner or the beneficial owner's agent

furnishing the statement;

regardless of the customer listed for the broker's account.

Name, address, and telephone number of the broker

The person giving and the broker receiving the transfer

receiving custody of the security;

statement can agree to combine the information in any

Name of the customer(s) for the account from which the

format or to use a code in place of one or more required

security is transferred;

items. Determine the adjusted basis and other information

Account number for the transferring account and, if

to be reported as explained in these instructions. If the

different, the receiving account;

basis of the transferred security is determined using an

CUSIP or other security identifier number of the

average basis method, any securities acquired more than

transferred security;

5 years prior to the transfer may be reported on a single

Number of shares or units;

statement on which the original acquisition date is

Type of security (such as stock, debt instrument, or

reported as “various,” but only if the other information

option);

reported applies to all the securities.

Date the transfer was initiated and settlement date of

Effect on Form 1099-B and other transfer statements.

the transfer (if known); and

In preparing Form 1099-B or a transfer statement for

The security's total adjusted basis, original acquisition

securities you transfer to someone else, you must take

date, and, if applicable, the holding period adjustment

into account all the information (other than securities

under section 1091.

classifications) reported on a transfer statement you

For a debt instrument, the following additional

receive, unless the statement is incomplete or you know it

information is required.

is incorrect. If you do not receive a required transfer

A description of the payment terms used by the broker

statement by the due date, you must request one from the

to compute any basis adjustments under Regulations

transferor. If a complete transfer statement is not

section 1.6045-1(n).

furnished, either after you requested one or because no

The issue price.

transfer statement was required, you may treat the

The issue date, if different from the original acquisition

security as noncovered. However, you must file a

date.

corrected Form 1099-B within 30 days of receiving a

The adjusted issue price as of the transfer date.

transfer statement indicating that the security is a covered

The initial basis.

security. But you do not have to file a corrected Form

Any market discount that has accrued as of the transfer

1099-B if you receive the statement more than 3 years

date.

after you filed the original Form 1099-B. You must also

Any bond premium that has been amortized as of the

furnish a corrected transfer statement within 15 days of

transfer date.

receiving a transfer statement indicating that a security is

Any acquisition premium that has been amortized as of

a covered security if you transferred the security

the transfer date.

transferred to you. But you do not have to furnish a

Whether the transferring broker has computed any of

corrected transfer statement if you receive the transfer

the information by taking into account one or more

statement more than 18 months after you furnished your

elections under Regulations section 1.6045-1(n).

transfer statement.

The last date on or before the transfer date that the

broker made an adjustment for a particular item relating to

More information. For more information about transfer

a debt instrument transferred on or after January 1, 2016.

statements, including definitions, exceptions, rules for gift

transfers, transfers from a decedent's estate, and

For all option transfers, the date of grant or acquisition

transfers of borrowed securities, see Regulation section

of the option, the amount of the premium paid or received,

1.6045A-1.

and any other information required to fully describe the

option. For the transfer of a Section 1256 option on or

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Instructions for Form 1099-B (2017)

Instructions For Form 1099-B - 2017 Page 5

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