I purchased shares in a REIT in 2007 with a cost basis of $10 per share. Shares were then added via monthly dividend reinvestments. In 2008 until part of 2009 I elected to just receive dividends in cash. Later in 2009 I resumed dividend reinvestments until July 2014. Each year the REIT would revalue it's per share price (always downward). In 2014 the shares were valued at $6.94 per share. In 2015 the REIT sold of a portion of their properties and returned the cash from the sale to shareholders. With that they restated the new cost per share value to $4.00. By July 2021 the value per share was lowered to $2.89. In August 2021 the REIT did a 10 for 1 reverse split so now the per share value was listed at $28.90. Then the REIT became listed on the stock exchange so now we shareholders can liquidate whenever we choose. In addition over the years a lot of the quarterly dividends were "non dividend distributions", or a return of principal, thereby reducing the cost basis.
Since this began in 2007 and there have been custodian changes over the years, there has been no cost basis tracking for the shareholders. Fortunately I saved everything related to this REIT and all 1099's and put together a detailed spreadsheet documenting my average cost basis per share is $47.7609. Currently the stock exchange shows the stock selling in the $25 range and I am prepared to sell at a loss.
My question is with this many years of activity with the REIT stock, will the FreeTaxUSA program provide me the tools to record this sale and to then supply the IRS what they need to show support for the capital loss. Or would I need to go to a tax service to file my return in the year I sell?
