FundTax® PFIC Calculations & Reporting Overview
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FundTax® - Straddles

  • Automate Straddle Tracking & Linking-Save Time & Reduce Error Risk 

    The straddle rule in Internal Revenue Code (IRC) Sec. 1092 often requires tracking positions over multiple tax years to determine the book losses subject to required deferrals, and when all or only a portion of such losses may be released in subsequent years. Additionally, loss deferrals are determined on both excise tax and fiscal year end cycles, creating additional complexities. Manually tracking straddles and their deferred losses can be extremely tedious, time consuming and prone to error risk.

    Simplify Straddle Tracking with FundTax

    GainsKeeper FundTax® is a powerful automated tax reporting solution already relied upon by more than 4,500 U.S.mutual and hedge funds. This solution includes sophisticated straddle tracking functionality that automates straddle position linking and tracking of deferrals. FundTax applies both of the distinct loss deferral rules for straddles and then tracks positions in future periods to determine whether all or only a portion of such deferred losses are 'released' or 'reversed' in future tax years. By automating this process, you can reduce the risks of inaccurate fund distributions and associated IRS penalties.

    FundTax Straddle Benefits

    • Automate straddle tracking & position linking
    • Account for modified short sale rule holding periods
    • Reduce risks of inaccurate fund distributions & associated IRS penalties
    • Save time & increase tax reporting accuracy with automated straddle, short sale & wash sale algorithms integrated into one solution
    • Reduce wash sale & straddle sale reconciliation errors
    • Facilitate tax provision completion