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<<I just transferred stocks to another brokerage firm. The fractional portion of the stocks were sold and the remaining whole shares were transferred. Now I have a tax sale situation for the fractional shares.>>

Right you are...

<<I want to use the specific identification method for the sale. Can I still do this or is it too late since I didn't tell the broker in advance?>>

Too late. Sorry.

<< What steps do I need to take? Do I need to write a letter to the broker specifying the shares I wanted a sold? If so, do I need to make sure I get a confirmation of the brokers' receipt of the letter?>>

You can read about the rules that the IRS wants you to follow in the Taxes FAQ area...along with a loophole that you might be able to use in the future. In addition, the issue of specific share identification is discussed at the Fairmark (

You might want to check it out. There is some good information there also.

<<If it is too late for me to use the specific identification method, can I use the specific identification method on future sales of the same stock?>>

Yup...if you follow the proper procedures...whatever you determine those to be after reading all of the various opinions.

I have discussed this many times in the folder. You might want to do a folder search to see what I (and others) have to say on the issue.

TMF Taxes

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