VelocityShares Daily Inverse VIX Short Term ETN (XIV)

[eric4x]

Brokers required to provide all cost basis information?*

I don't know what you mean here. My 1099 says, Cost basis not provided to IRS. Maybe I'll ask around and learn more about it.*

There is another problem, concerning shares bought a long time ago. I have some relatives who bought shares in companies under an ESOP (Employee Stock Ownership Plan). This is a way of buying shares and getting matching shares. Officially, the cost basis for all shares is ZERO, meaning that all sales are 100% taxable income.*

I don't know enough about it, such as if taxes were already paid on some of it. I just know that it would make a big difference.*

If any taxes were already paid, then there is no way of knowing when it was bought, or how much it cost. Nobody was keeping track, and it's far more than ten years ago. Of course, if no taxes were paid yet, then I guess it is only to be expected that they tax the entire sale.*