Problem With Tax Documents
| HelpRegister |
Problem With Tax Documents Greetings! Filing our clubs taxes like we normally do thru bivio, we have run into a bit of a snag this year. We received the following notification from bivio: "Problems with Tax Documents Your club owned an investment during the tax year which has accounting and tax reporting requirements that are beyond the scope of the services provided by bivio. Therefore, this tax return as prepared should not be filed or distributed to members. The club should contact a competent local tax professional to prepare a correct return. Problematic investment: Fidelity Wise Origin Bitcoin Fund (FBTC)" Has any club run into this problem and if so, what did you do to rectify? Very much appreciated! We also invest in FBTC. Last year our 1099 showed a Gross Proceeds Investment Expense, which is a "miscellaneous expense" to the partners, and non-deductible. In our case is was a whopping $4.28 so we just ignored the expense and filed the taxes. I know that FBTC does a lot of expense calculations in BTC, but as it all rolls down to us it's just dollars. This year our 1099 doesn't show that. I'm now expecting a revised 1099, but we won't do anything. We did not trade our FBTC at all in 2025. I understand Bivio not wanting to be involved in accounting for actual crypto transactions, but FBTC (and other ETFs) don't seem to be any different than any other ETF. carl. -- Carl Muckenhirn On February 27, 2026 at 3:52:54 AM, Kenneth Montgomery via bivio.com (user*32056900001@bivio.com) wrote:
You can check here for some watch out items:
From: club_cafe@bivio.com <club_cafe@bivio.com>
On Behalf Of Carl Muckenhirn via bivio.com
CAUTION: External Email
We also invest in FBTC. Last year our 1099 showed a Gross Proceeds Investment Expense, which is a "miscellaneous expense" to the partners, and non-deductible. In our case is was a whopping $4.28 so we just ignored the expense and filed the taxes. I know that FBTC does a lot of expense calculations in BTC, but as it all rolls down to us it's just dollars.
This year our 1099 doesn't show that. I'm now expecting a revised 1099, but we won't do anything.
We did not trade our FBTC at all in 2025.
I understand Bivio not wanting to be involved in accounting for actual crypto transactions, but FBTC (and other ETFs) don't seem to be any different than any other ETF.
carl.
--
On February 27, 2026 at 3:52:54 AM, Kenneth Montgomery via bivio.com (user*32056900001@bivio.com) wrote:
In addition to the gross proceeds investment expense, you have capital gains transactions for each of the monthly(?) expenditures. Each expense involves the sale of a tiny amount of the bitcoin in your account. You also have to report these transactions on Form 8949 as short-term or long-term transactions using code G-L, as appropriate (probably I or L). Ira Smilovitz.
|
|
||||||