It was/is your responsibility to maintain cost basis records on the
investment. You need to go back over your records to determine when the fund
was originally bought and the timing and amount of any additional
investments or reinvestments of distributions. You may be able to get this
information from the fund directly.

The sale of the fund will be reported on Schedule D on your son's tax
return. The gain is taxable. In the absence of any records, the entire sales
proceeds will be taxable. With years of reinvestment, it's possible that
your son has a loss instead of a gain and can reduce his tax liability.
There's no way to know without the historical records.

Ira Smilovitz
"cbuer" <buer58[at]comcast.net> wrote in message
news:RdOdneQpTrU97TfanZ2dnUVZ_jSdnZ2d[at]suscom.com...
- quote -

<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

my wifes grandmother bought funds a number of years ago in the names of my
children with my wife as c/f. I think the initial amount was 500.00. My
oldest son sold his share this year for just over 2000.00. How are taxes
filed? The 1099-b does not include anything for cost basis. Is this
necessary? In addition I don't remember when the fund originated. Again, Is
this necessary? The only data on the 1099-b is date of sale, amount of sale,
number of shares redeemed and price/share.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >