State Street anticipates that its new functionality and reporting capabilities will enable customers to perform tax-efficient lot selection on lot-level holdings adjusted for wash sales, which occur when any security is purchased within 30 days of a loss incurred from the sale of any substantially identical security.
It is hoped that customers using the Tax-Efficient Lot Selector (iTELS) application will be able to identify a tax-efficient lot that can be used in the determination of the amount of gain/loss associated with the sale of a security. The new feature evaluates and records the impact of wash sales on portfolio lot-level records, which should allow State Street customers to select tax lots from the portfolio holdings adjusted for wash sales.
iTELS’ new service capabilities enable State Street’s customers to obtain maximum tax efficiencies, through streamlined and accurate lot selection, said Alan Greene, executive vice president of State Street. Our customers have been extremely pleased with this new development and value State Street’s commitment to being at the vanguard of technology development.
