Sec. 3421. Cost basis of specified securities determined without regard to identification
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/bill/113/hr/1/ih/section-3421A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 1012 is amended by adding at the end the following new subsection: Except to the extent otherwise provided in this section or in regulations thereunder permitting the use of an average basis method for determining cost, in the case of the sale, exchange, or other disposition of a specified security (within the meaning of section 6045(g)(3)(B)), the basis (and holding period) of such security shall be determined on a first-in first-out basis. . Section 1012(c)(1) is amended by striking the conventions prescribed by regulations under this section and inserting the method applicable for determining the cost of such security .
Section 1012(c)(2)(A) is amended by striking section 1012 and inserting this section (as in effect prior to the enactment of the . Tax Reform Act of 2014 ) Section 6045(g)(2)(B)(i)(I) is amended by striking unless the customer notifies the broker by means of making an adequate identification of the stock sold or transferred . The amendments made by this section shall apply to sales, exchanges, and other dispositions after December 31, 2014.