Scivantage Maxit Clients Deliver 1099s on Time to Investors for Second Consecutive Year

Maxit clients avoided reporting errors and mailed 2012 1099s to their customers by IRS deadline

JERSEY CITY, NJ — April 10, 2013Scivantage®, an independent financial technology provider with proven expertise in online brokerage, tax and portfolio reporting and wealth management applications, announced today that Scivantage Maxit® clients had a 100% success rate in getting their 2012 IRS Form 1099s out to investors on time.

All retail and institutional clients using the Maxit Tax Reporting Services delivered 1099 forms to their customers on time with accurate data for the second year in a row. As the final phase of the cost basis reporting requirements will go into effect in 2014, adding even more complexity to the existing regulation, financial institutions need to make sure they have the right tools in place to produce timely, accurate 1099 reports in order to avoid penalties and dissatisfied clients.

“As the cost basis regulations continue to evolve, it is crucial that firms generate accurate data for reporting purposes from the start in order to avoid costly mistakes,” said Job Dennison, Vice President, Investment Reporting at Scivantage. “With the final portion of the cost basis rules for fixed income and options to implement this year, automating the complex tax reporting process has become increasingly important as 1099 volumes continue to grow. Looking beyond the final phase, firms can maximize their investment beyond compliance, utilizing process automation and data accuracy for streamlined communications and other business differentiators.”

According to a recent Celent report, firms using third-party vendors for cost basis reporting were overall more satisfied than those using a homegrown solution. “Last year, firms underestimated the complications around investors’ 1099 filing requirements and corrections resulting from new cost basis regulations delayed the process,” said Alex Camargo, Wealth Management Research Analyst at Celent. “It takes specialized knowledge and sophisticated technology to successfully comply with evolving cost basis regulations. Businesses need to have reliable cost basis reporting systems in place now ahead of the implementation of the final phase next year.”

Scivantage Maxit® is the only fully automated, real-time solution to provide accurate, adjusted cost basis reporting through a highly configurable platform. Maxit enables broker-dealers, mutual funds, custodians and prime brokers to streamline tax and portfolio reporting and deliver a superior client experience, while reducing operational costs and meeting regulatory requirements.

About Scivantage

Scivantage is an independent financial technology provider with proven expertise in online brokerage, tax and portfolio reporting, and wealth management applications that automate and integrate key business practices for broker-dealers, mutual funds, custodians and prime brokers. From trade order processing and account management to comprehensive cost basis reporting and automated account opening, maintenance and funding, Scivantage’s back-office independent solutions enable financial institutions and financial professionals to dramatically reduce operational costs, strengthen customer relationships and improve productivity. For more information, please visit www.scivantage.com or contact us at +1.866.724.8268.

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Posted in Press Release.