Freight Train Blues

iStock_000008144503XSmall freight trainNow, that we are all in the throes of post-holiday letdown, it’s time for me to bring up a subject that will make you even more depressed: April 15 is approaching like a freight train at full speed. With apologies to Bob Dylan, we’re headed for the Freight Train Blues. For those of you who regularly read our blogs, last April I wrote about spring cleaning. If you followed suggestions #2 (Tackle your mail every day) and #5 (File, file, file!), hopefully this will help you now that we are approaching that looming deadline. For those who are still a bit cluttered, I have one suggestion: prepare a place NOW to store tax documents until it’s time to take them to your CPA. You can use a file, a shoebox, a wire basket, just SOMEPLACE to put those year-end statements, W-2s, and 1099s as they arrive in the mail so they don’t get lost.

Here are a few things you need to know regarding LPL’s tax reporting procedures:

1. You can expect to begin seeing 1099-R and 1099-Q forms from LPL shortly after January 31, 2013, the deadline for sending those documents.

2. However, in 2009, the IRS extended the deadline to furnish 1099 Consolidated Reporting Statements to customers from January 31 to February 15, so those documents can be expected shortly after February 15, 2013.

3. Since it is common for investment companies to amend tax information, LPL Financial will request a supplemental mailing extension in the event investment companies do not furnish tax information to LPL Financial by the February 15 deadline. This additional extension attempts to minimize the number of corrected 1099s resulting from amended reporting sent by investment companies.

4. We would like to remind you that if you need to provide your accountant with your total advisory fees, these fee totals can be found on your December statement under “Account Activity Summary” in the “Fees and Expenses” section.

5. Please note that if your tax professional needs to contact us to ask for information or duplicate tax forms, we must have your permission in writing in advance of the request. Please contact our office and request our “Consent to Release or Verify Client Information” form. Submitting this form to us in advance will cut down on unnecessary delays in providing information to your tax advisor.

6. As a reminder, tax statements from the 2010 tax year and forward are now also available on Account View, so clients who subscribe to Account View will be able to access their tax statements directly online. If you would like more information on this program, please contact our office.

As always, if you have questions just give us a call at 336-544-6800 or email me at We are always happy to help as that freight train approaches!