Tax Summary

Taxes were once a taboo topic for anyone investing in DRIPs.  But luckily, the DRIP Wizard's Tax Summary feature automatically generates a tax report for any time-frame.  The report includes all the information that you will need to file your taxes.

To use the feature, simply press the Tax Summary button.  Then enter the start date and end date (e.g. 1/1/99 through 12/31/99), press the Generate button.  The DRIP Wizard will then go through each of your stocks and transactions to find all relevant tax information.  It will then assemble a report that you can view or print.  The report will itemize all transactions which account for the following:

• Dividend Income:  All dividend income is listed for the period.  Each transaction date, type, and amount is shown.  They are sorted by company then by date.  All transactions that qualify as dividend income will be listed--which can be more than just dividends. 

• Capital Gains:  Two separate areas itemize all transactions which were the source for Capital Gains.  The areas are separated by holding period of the shares.  Zero to 12 months is a short-term capital gain.  Over a year holding is a long-term capital gain.

• Income Deductions:  Some small transaction fees and other fees can be deducted from your income.  They will be listed in this section.

To do this by hand would take hours!  And on years when you sell shares, it becomes almost impossible.  Luckily the DRIP Wizard does it within seconds, at the click of a button!

See the tax summary example below.  Note the sale of BUD on 7/16/03.  Capital Gains are itemized and automatically calculated by DRIP Wizard (don't try this by hand!).