Originally Posted by Bevdeforges

Problem is, if he bought the stock "years ago" (as I think he said in the original post), you have to work with the exchange rate at that time when filing US taxes. I'm not sure what the Germans did about basis prices when we all went to euros in 2002, but I can tell you it only complicates the picture if his basis is in DM and the sale was in euros.

Normally, an investment broker would advise someone to sell off (and reinvest) some stock that was showing a loss in the same year to cushion the tax bite. But a tax accountant handed the sale as a fait accompli really doesn't have any options.
Cheers,
Bev