Tax returns to handle unfinished short sale of stock

Jan 03, 2011 1 Replies

Hi, I shorted some stock in 2010 and position is still open in 2011. I am sure Broker 1099 will mention the proceed from these short sale. How do I address it on my tax returns since I have not bought and covered my position yet. Please help. thanks


I add a line to Schedule D saying: The following short positions remained open at year end:

I fill out the description and sales column and force the gain/loss column to zero.

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