Quote:
Originally Posted by JimAfternoon
Damn that sucks.
Yeah, almost ruined his life. He was making great money, but had just gotten divorced. Then he got laid off, but he wasn't too concerned because he had a ton in the bank. All of a sudden he had to live off unemployment. I owned a restaurant at the time, used to let him eat for free. Took him over a year to find a job, and that was with a 75K pay cut. BOA foreclosed on his house a week after he got a job. But I'm proud as hell that he told the IRS to f off, and he is one of the happiest people I know.
And his mistake was an obvious one. He thought the broker reported cost basis for a stock purchases, so he didn't. Ex - sold 1000 shares of ABC at 80, bought it at 70, 10K gain. He didn't report the cost basis, so the IRS said the gain was 80K.
Last edited by SGT RJ; 03-06-2012 at 01:04 AM.