Open Solution Provides Security
Most tax preparation software provides for direct download from your broker. But direct download requires supplying user and password information to the tax preparation software, and that poses an added security risk.

Most brokers provide the capability to download trades into CSV or XLSX spreadsheet format. Schedule D Tax Tool can then be used to generate a standard TXF file, which in turn imports into tax preparation software. The TXF import approach completely eliminates the requirement to supply logon credentials, and thus removes the security risk.

With the open solution of Schedule D Tax Tool, there is no need to ever provide logon credentials for online broker accounts to tax preparation software. There is never a direct connection from tax preparation software to your broker account, making the entire process secure.