What seems to not be understood is that the TD Ameritrade accounting is IRRELEVANT to the issue of when SPNG became a worthless security and must be written off your taxes.
This has now been explained here by me and at least one other person. When SPNG was liquidated and became a worthless security - THAT is the year it became a worthless security. That is the year, and the ONLY year, it became eligible for tax loss.
If your net capital loss for that year was more than $3000, you take $3000 off your income THAT year and CARRYFORWARD the remaining losses and deduct if from any capital gains in future years (or write it off at $3000/yr if you have no future capital gains for future years) until the SPNG capital loss carryforward is used up.
You cannot pick the year a security became worthless - it's an objective fact that a Chapter 7 liquidation leaving the corporation with no assets and remaining liabilities (liabilities are NOT discharged in a corporate Chapter 7!).
If you fail to take the capital loss for SPNG being a worthless security within three years of the date that year's return was due to be filed (last date to amend the return), you will LOSE the loss.
As I said, get a new tax advisor, you're taking advice from a fool.
Get this straight: it is utterly irrelevant that TD Ameritrade is keeping SPNG on your account. It has zero bearing on the date it became a worthless security.
