Many thanks for your previous rapid response to my query
about how to handle Pengrowth "dividends" (see a 2-17-05
post titled "Scottrade 1099...").

I contacted Scottrade and they said that Pengrowth might
reclassify that income in late March of this year.  But, for
now it is classified as miscellaneous income.

Many members of our investment club do not want to wait
until late March to see if that income classification is
changed, i.e., they want to get the club IRS forms finalized
as soon as possible.

I can go into the bivio accounting and edit out the
Pengrowth "dividend" and reenter it as miscellaneous income
for the Scottrade account.  However, then I don't know how
to report the foreign tax that has been paid on that income
in the bivio accounting system.

Any suggestions would be welcomed.

(1) Sell the Pengrowth yesterday. (2) Tell your club members that it is their responsibility to file the club's tax return CORRECTLY. The partner who signs the 1065 attests that "Under penalties of perjury, I declare ... this return ... is true, correct and complete." If they file incorrectly, the club and each of the members could be subject to penalties and interest. If the club has to wait until late March to file, then it has to wait until late March. It could be worse, some investment entities file for extensions and don't report their earnings until late summer. If you don't want to wait this long to file in the future, don't invest in anything that isn't a plain-vanilla US Corporation.

 

You really don't want to file an amended 1065 and amended personal returns.

 

Ira Smilovitz