In article <946a0e77-b220-4009-b90e-d77c7f8bbe15[at]f37g2000pri.googlegroups.com> ,
dapperdobbs <GeorgeCFL[at]hotmail.com> wrote:
- quote -

Lehman stock is still trading. If you don't sell it this year, you
don't get to take a loss this year (even if you want to).

Seth

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"William Brenner" <wbrenner[at]nospamplease.net> wrote in message
news:%lNSk.87757$XB4.10349[at]bignews9.bellsouth.net...
- quote -

It will be published in a document by the Court.

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D. Stussy wrote:

- quote -


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Bill Brown <brownwp[at]longwood.edu> wrote:
- quote -

So often I have made the offer to buy shares of worthless
securities, i.e., <= one cent per share, for market value.
There have been no takers.

Dick

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On Nov 12, 12:14*am, William Brenner <wbren...[at]nospamplease.netwrote:
- quote -

This close to the end of the year, I wonder if it would be possible to
wait for next January to take the loss - if you might benefit from
that delay. If for some reason you found that you were unable to make
the disposition in January, then it would just go down on your 2008
filing (not due until April).

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William Brenner wrote:

- quote -

Joe gave you correct guidance. I join you in tears, for my considerable
investment in WAMU went down the drain this year, after the bank was
taken over by FDIC.

I can verify that my broker considerately sold the (worthless) shares to
some arbitrageur for the about 6 cents/share, and did not charge any
commission. (After all, they did collect a significant commission for
the purchase.)

Bill

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William Brenner wrote:
- quote -

TOTALLY worthless securities do not have to be sold--you just enter
them on Schedule D
as having been sold on the last day of the year.

http://www.irs.gov/faqs/faq-kw210.html

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"William Brenner" <wbrenner[at]nospamplease.net> wrote in message
news:lytSk.58744$XT1.27772[at]bignews5.bellsouth.net...
- quote -

Shares need not be sold if the Bankruptcy Court states they're worthless.

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On Nov 12, 12:14*am, William Brenner <wbren...[at]nospamplease.netwrote:

- quote -

The sale must be to an unrelated party. Losses on sales to related
parties cannot be recognized on the seller's tax return.

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William Brenner wrote:
- quote -

Consensus reply regarding the sale of bankrupt companies like this was
that most brokers will sell as a courtesy and you won't pay a commission
beyond the sale. I learned this the hard way after the netcom bubble of
1999-2001.

Joe

www.blog.joetaxpayer.com

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Two years ago, I was fortunate to be able to purchase shares of a new
limited edition Lehman Brothers preferred stock.

My luck ran out when Treasury Secretary Paulson -- no doubt having seen
my name on the shareholder list -- decided that Lehman must go down.

I know from reading these hallowed pages that the shares must be sold in
order to establish a tax loss. The question is: Does the nature of the
sale matter so long as it is at the then current market price -- now
$.01 per share (vs $25 cost)? Can it be to a family member or must it
be "arms length"? The shares are held by a broker in the name of my
revocable trust. I would prefer to not increase the loss by way of
paying a commission out of pocket.

Thank you for your help.

Tearfully,

Bill

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<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >