>>Apparently, since it is now non-reportable activity, the IRS
will not see it as income and I will not need to enter it in
the bivio accounting. Is that correct?

No, it is not correct. What Scottrade is telling you is that THEY are not
reporting the activity to the IRS. That's because Pengrowth is reporting
directly to the IRS. If Scottrade also reported, you would have double entries.

>>If that is correct, where do I enter the foreign tax paid in
the bivio accounting? That will still be reported to the
IRS on the revised 1099.
 
The correct answer is you still have to wait for the Pengrowth K-1. You
can't make the foreign tax entry until you know how much foreign income you
received and what type of income it is.
 
Ira Smilovitz
 

I am having a problem similar to the Pengrowth question
with several stocks that our club owns. We unexpectedly
received K-1's for these investments and I have asked Bivio
if there is any way to enter the data from the K-1 to
prepare our taxes. Bivio's reply is attached but basically
says to sell those stocks because of the complexity. I don't
see what good that would do since I am going to have to deal
with it for 2004 and 2005 even if I sell it today. Has
anyone dealt with a K-1 using Bivio in the past? Bivio has
always been helpful in the past but I don't much like this
response.


Bivio's Reply: "You might be better off selling those
instruments because no matter what system you use for
accounting, they add lots of complexity.

I think your best resource would be the Club Cafe:

http://www.bivio.com/club_cafe/mail

You might also look at recent posts about Pengrowth where
there has been some discussion about how to enter these
expenses. If you don't find an answer in the existing
discussions, you can post a specific question of your own."