Author Topic: LC Tax Documents available now!  (Read 19130 times)

desk8149

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Re: LC Tax Documents available now!
« Reply #30 on: February 03, 2013, 09:21:05 AM »
Sorry to keep asking this question, but I do not see where on the monthly statements (or anywhere else) to find the date acquired for charged off loans.  Please point me to the form.  Thanks.

desk8149

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Re: LC Tax Documents available now!
« Reply #31 on: February 04, 2013, 01:22:49 PM »
Since LC will not provide 1099-B for charge off losses, has anyone figured a way to easily get at all the data required for Schedule D (Date acquired, etc).

Lovinglifestyle

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Re: LC Tax Documents available now!
« Reply #32 on: February 04, 2013, 02:19:08 PM »
On the Account Summary page I click on "My notes-at-a-Glance", and then on the blue number after "Charged Off" at the bottom.  On that page, I sort by "Payment Due Date" to get all the 2012s at the top.  Then I click on the/each blue "Charged Off" in turn to look at the "Issued Date".  In the "Payment History" on that same page it confirms the same date for "Charged Off" that was the "Payment Due Date".

As bad as this sounds, it's the easiest and fastest way I've come up with.   For taxes, the sale's price is zero (thanks for someone here for pointing that out!). 

If anybody without Excel has a better way, I'm all ears!

Sorry to keep asking this question, but I do not see where on the monthly statements (or anywhere else) to find the date acquired for charged off loans.  Please point me to the form.  Thanks.

Jeff

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Re: LC Tax Documents available now!
« Reply #33 on: February 04, 2013, 07:56:25 PM »
On the Account Summary page I click on "My notes-at-a-Glance", and then on the blue number after "Charged Off" at the bottom.  On that page, I sort by "Payment Due Date" to get all the 2012s at the top.  Then I click on the/each blue "Charged Off" in turn to look at the "Issued Date".  In the "Payment History" on that same page it confirms the same date for "Charged Off" that was the "Payment Due Date".

As bad as this sounds, it's the easiest and fastest way I've come up with.   For taxes, the sale's price is zero (thanks for someone here for pointing that out!). 

If anybody without Excel has a better way, I'm all ears!

Sorry to keep asking this question, but I do not see where on the monthly statements (or anywhere else) to find the date acquired for charged off loans.  Please point me to the form.  Thanks.

Thanks.  To enter this information in TurboTax I'm going to:
Wages & Income -> Investment Income -> Stocks, Mutual Funds, Bonds, Other -> Adding an Other Investment -> Uncollectible Debt (Nonbusiness Bad Debt).  There, they ask the below.  Here is what I plan to input.

Name of Debtor: LendingClub Borrower [Loan ID]
Relationship to Debtor: None.  I'm a lender on LendingClub and notes are issued anonymously.
Description of Debt: LendingClub Note [Note ID]
Describe Your Efforts to Collect This Debt: LendingClub made multiple attempts on my behalf.
Explain Why This Debt is Worthless: [Explained using Payment History]
Amount of Loan: [Outstanding Principal]
Date the Loan was Made: [Issued Date]
Date the Debt Became Due: [Earliest Due Date]
Date in 2012 the Debt Became Completely Worthless: [Charged Off Date]

Does this sound good?  I'm a pretty small investor so I only have maybe 10 of these to input, and don't want to bother going to a professional for this.  I'll take my chances with an audit.

AmCap

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Re: LC Tax Documents available now!
« Reply #34 on: February 04, 2013, 09:13:11 PM »
Well, I think the point of all this is that LC and P have a lot of work to do in terms of reporting the relevant tax information in a way so that taxpayers can comply with the tax code.  You really shouldn't have to be a tax person to understand how to report this stuff...


Jeff

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Re: LC Tax Documents available now!
« Reply #35 on: February 04, 2013, 09:24:11 PM »
Well, I think the point of all this is that LC and P have a lot of work to do in terms of reporting the relevant tax information in a way so that taxpayers can comply with the tax code.  You really shouldn't have to be a tax person to understand how to report this stuff...

Agreed.  I wish LC would work with TurboTax to allow automatic importing of all the details, as other investing institutions do.  Then this wouldn't be an issue at all.

Jeff

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Re: LC Tax Documents available now!
« Reply #36 on: February 05, 2013, 09:28:04 PM »
Email just received:

Important information about your 2012 IRS Forms 1099-OID, 1099-INT, and 1099-B

Lending Club will be issuing corrected 2012 IRS Forms 1099-OID and 1099-INT in addition to providing a new IRS Form 1099-B for recoveries of principal amounts from previously charged-off loans by February 19, 2013. Please use the corrected Form 1099s for your tax filing purposes.

For more information please see our Tax Frequently Asked Questions or contact us at investing@lendingclub.com. Lending Club does not provide tax advice and recommends that you consult with your financial or tax advisor if you have specific tax-related questions.

Best,
The Lending Club Team

AmCap

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Re: LC Tax Documents available now!
« Reply #37 on: February 05, 2013, 09:31:09 PM »
Cute. I filed already.

rawraw

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Re: LC Tax Documents available now!
« Reply #38 on: February 05, 2013, 11:06:38 PM »
Cute. I filed already.
That sucks.  Guess I'm glad my taxes are complicated enough I have to wait a little while longer to file.

AmCap

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Re: LC Tax Documents available now!
« Reply #39 on: February 05, 2013, 11:23:08 PM »
Eh I can always amend, but I'm pretty sure it won't make a material difference.  I'll just see what it looks like; I'm pretty sure I reported accurately (i.e., ignored the 1099 in some respects).

Lovinglifestyle

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Re: LC Tax Documents available now!
« Reply #40 on: February 06, 2013, 12:21:43 AM »
Too late for me too.  Would have waited if I'd known, but I'm glad it's over with.  Did the best I could with the info available and it seemed right to me.  Don't plan to amend!  If anything, I probably paid extra!

Keltset

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Re: LC Tax Documents available now!
« Reply #41 on: February 06, 2013, 12:31:48 AM »
I received no such message but also already files my taxes. I have little faith in LC's ability to provide correct tax documentation and have no problem with reporting the correct numbers. This is nowhere near as hard as it sounds it's very simple-

(So.... When you buy/invest in a note, what are you buying or selling and to whom?)

desk8149

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Re: LC Tax Documents available now!
« Reply #42 on: February 14, 2013, 08:13:06 AM »
I was expecting the revised LC 1099 to include the Charged off losses but this is the response I got from LC:

"we wanted to clarify what to expect on the 1099-B. Form 1099-B will display recoveries of principal amounts from previously charged-off loans. It will not include an itemized list of all charged off loans for the tax year"

So I am back to my original question.  How are lenders reporting charged off loans?  Do we really need to look up data on each loan and manually load it?  Is it possible to submit as one amount as it is summarized in year end statement?  Also, will this trigger an IRS response since LC is not reporting our losses, only the interest earned?

Thanks for any help.

Lovinglifestyle

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Re: LC Tax Documents available now!
« Reply #43 on: February 14, 2013, 08:02:14 PM »
I was expecting the revised LC 1099 to include the Charged off losses but this is the response I got from LC:

"we wanted to clarify what to expect on the 1099-B. Form 1099-B will display recoveries of principal amounts from previously charged-off loans. It will not include an itemized list of all charged off loans for the tax year"

So I am back to my original question.  How are lenders reporting charged off loans?  Do we really need to look up data on each loan and manually load it?  Is it possible to submit as one amount as it is summarized in year end statement?  Also, will this trigger an IRS response since LC is not reporting our losses, only the interest earned?

Thanks for any help.

My chargeoffs ended up on page 2 of Form 8949 and Box C checked, with the "help" of olt.com for efiling.
Using the monthly statements, I wrote "various" as date acquired in column b and used the last charged oll date in that month as date sold or disposed in column c.  Then, 0 in d for proceeds and the total charged off principal amount for that month in column e.  My column g amount of adjustment was 0.  I may have sacrificed some loss by not claiming any adjustments, but in the efile process I didn't notice any instructions for column f.  If I'd had paper to work with I could have thought through that better.  My policy is to err a little on the side of the gov't when in doubt and to pay whatever extra they say I owe because I did something wrong!

Folio got its own same page with Box B checked and I did it the same way, using Folio monthly statements, since they were all losses.

I had the short and long term information ready, but it didn't occur to me that nobody would care about that since they were all losses.  Could have saved the trouble.

If I owe more tax for anything stupid, I'll jump right on it.  Hopefully olt.com and LC and Folio helped to keep me out of trouble.  Naturally I paid income tax on all the income, at the highest level (not OID).

I don't recommend olt.com, by the way, in case anybody is curious.  I used them last year too, but won't next year.  If forms and books came in the US mail instead of by special request (which assumes one knows what one needs) I'd be doing it on paper or at least use the paper to refer to.

I used some of the advice from other posts for help also, thank you!  Sorry this post is so tedious, and I'd love to know what some other people are doing.
 

conorneu

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Re: LC Tax Documents available now!
« Reply #44 on: February 18, 2013, 03:30:07 PM »
By the way, it looks like Lending Club added the Issue Date column to the downloadable notes file (Click on Notes -> Click on Download All at the bottom) about a week ago.  You can now do some quick work in Excel to filter by Issue Date and "Charged Off" loans.  I don't believe the file indicates when they were charged off on there, but it is progress.