Steve,
I've been reading through the stuff on the fairmark site and I want to confirm that my conclusions are correct.
I opened an individual cash account in Dec and bought and sold some shares of various stocks. I did not identify which shares I was selling at the time and still hold most of them for one of the positions I have. I did a little 'flipping' at first in the stock and need to account for it.
Basically, it looks like since I didn't specify anything I am accounting on a FIFO basis correct? However, going forward I can specify which shares on a per sale basis if I choose to sell some more.
In the future if I want to hold a stock long term, but continually flip a percentage of it, I would either have to specify every sell to be my most recent shares or it would continually screw up the tax basis for my older shares. I guess a better solution would be to have two accounts, one for holding one for flipping as these are accounted for separately?
Thanks!
