Fees added to tax cost basis

[paulstonge]

Is there an option to elect to have fees not added to tax cost basis?

[Mark]

Hi paulstonge,

No, there is no option to not include commission fees in your tax cost basis. You could just not record the commission if you don't want it included. Is there some reason you are looking for such an option?

[paulstonge]

I am talking about an account fee not a commission. For example a $10 charge. The fee is deducted on the tax return as part of a total of similar fees and therefore should not be added to basis. My work around is to record the sale (redemption) and then enter a distributed distribution.

[Mark]

Hi paulstonge,

Okay. There is also no option to disable the account fee type of distribution from being added to your tax cost basis. I would suggest using another distribution type instead. For example, you can use the 'Other' distribution type. Record it the same way as the account fee type, where the value is negative. If you redeemed shares to pay this fee, check the "Reinvested" option, and enter the number of shares, also as a negative number.

The "Account Fee" and "Return of Capital" are unique distribution types, in that they affect your tax cost basis. Other distribution types do not affect your tax cost basis (unless you reinvest them).