PURPOSE: To adjust information contained on a tax lot of an asset in an account.

Transcription

1 Posting Asset Other Transactions Index Books On Line Main Directory PURPOSE: To adjust information contained on a tax lot of an asset in an account. TRANSACTION NOTES: A. Tax lot information that may be changed on individual tax lots with this transaction is Trade Date, Investment Cost Basis, Shs/Par, Inventory, Market Discount Treatment Indicator, Original Cost Basis, Original Face Value, Wash Sale Adjustment Amount and Wash Sale Adjustment Date. B. This transaction will be reported on Customer Statements even if there is no change to Cost, Shares or Inventory. C. Use Transaction 20, Sub-Types 02 to Maintenance any of the following fields for one security in one account: Location/Registration Code, Covered Indicator, Gifted/Inherited Indicator, Dividend Reinvestment Indicator, or Date or Market Value of Gift. D. Use Transaction 20, Sub-Type 03 to Maintenance any of the following fields for one security in all accounts: Location/Registration Code, Covered Indicator, Gifted/Inherited Indicator, Dividend Reinvestment Indicator, or Date or Market Value of Gift. E. Use Transaction 20, Sub-Type 04 to Maintenance Discretion Code for one or all Securities in one account. F. Use Transaction 049 to move part or all of a tax lot to another tax lot. This transaction does not create a transaction record on your transaction history file. Therefore, your customer reports will not contain a specific transaction indicating the action taken. G. If you use the Wall Street Concepts (WSC) daily interface for Fixed Income Cost Basis Reporting (FICB), WSC will recognize and recalculate the FICB schedule if you post an adjustment to Cost, Original Cost or Original Face. Page 1

2 Sample Batch Posting Form: Note - This transaction will be reported on Customer Statements Changes to Balances Cash 0.00 Shares/Par 0.00 Investments Results after Processing Tran Income Principal Investment Shares Type Description Cash Cash (Cost) Par 047 ADJUST COST TO FEDERAL ESTATE COST BASIS GENERAL ELECTRIC CO Page 2

3 FIELD INFORMATION: Transaction Code 047 (Required). Posting Date Optional (MMDDYYYY). Account Number Description Line # 2 - If entered, your additional description will be added to this entry as a Transaction If you want more than two lines of description, click on. Trade Date - If blank, the date will not change. - If a date is entered, the first date on the tax lot will be changed. Sub Tran - If blank, the Market Discount Treatment Indicator will not be changed. - If the Market Discount Treatment Indicator is to be changed, enter one of these codes: 2 = MDB - Intent to recognize market discount at sale or maturity. 3 = Change status to "Not a Market Discount Issue". When your entry is processed, the indicator will be changed to a 0 DO NOT ENTER A 0 (zero) in this field. 9 = MDB - Intent to recognize market discount annually. Amt/Cost - If no change to Investment Cost Basis is to occur, you must enter a 0 - If Investment Cost Basis is to be changed, enter a positive or negative amount for the change. Investment Cost Basis will be increased or decreased by the amount entered. Page 3

4 Warning If you are going to adjust the cost basis of an asset purchased in an account that is using QPR and/or MTM reporting, you should consider an alternative way to make this correction, as only share adjustments on Transaction 047 are used for QPR and MTM reporting calculations CUSIP # Shs/Par - If no change to Shs/Par is to occur, you must enter a 0 - If Shs/Par is to be changed, enter a positive or negative number for the change. Shs/Par will be increased or decreased by the number entered. Warning This transaction does not allow you to reduce Shs/Par to 0 or less than zero, nor does it allow you to create a new tax lot. Use Transaction 046 to deliver out a complete tax lot. Use Transaction 045 to create a new tax lot. Int/Invn - If no change to Inventory Value is to occur, you must enter a 0 - If Inventory Value is to be changed, enter a positive or negative amount for the change. Inventory Value will be increased or decreased by the amount entered. Tax Lot # - You must specify the tax lot being adjusted. If this field is blank or if the tax lot noted does not exist, your entry will reject. Page 4

5 . Field G Required Orig Face - If no change to Original Face Value is to occur, you must enter a 0 - If Original Face Value is to be changed, enter a positive or negative amount for the change. Original Face Value will be increased or decreased by the amount entered. - Available for Security Types 03 through 07 and 34 through 37 - Amounts must be entered with a decimal followed by two digits Field L Required Original Cost Basis - If no change to Original Cost Basis is to occur, you must enter a 0 - If Original Cost Basis is to be changed, enter a positive or negative amount for the change. Original Cost Basis will be increased or decreased by the amount entered. The Original Cost Basis is the cost basis before any adjustments are posted, such as Amortization or Accretion. - Amounts must be entered with a decimal, followed by two digits Wash Sale Adj. Amt. Optional - If Wash Sale Adjustment Amount is to be changed, enter a positive or negative amount for the change. Wash Sale Adjustment Amount will be increased or decreased by the amount entered. Wash Sale Adj. Date May be Required - Required if Wash Sale Adjustment Amount is entered - Enter date of wash sale adjustment All Other Fields Leave blank. Page 5