<jbutts07042003[at]hotmail.com> wrote:

- quote -

Possibility #2: Gainskeeper goofed. It took RYN's REIT
distribution info (online at
http://www.rayonier.com/ir_main.asp?...46&UserClick=Y

but forgot to adjust the numbers shown there to reflect
pre-split shares.

The amounts aren't material, so I'd just apply the full
return of capital amount to the basis of the 120 shares sold
on 5/18.

Good luck w/ your investments.

Bob Daniels (And remember, free advice is worth twice what it costs.)

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

The symbol is RYN. There was a 3:2 stock split but it was on
10/18/05. So on 5/18/05, I sold all 120 shares that I bought
on 2/15/05.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

<jbutts07042003[at]hotmail.com> wrote:

- quote -

You don't say what company the shares are in, so it's not
possible to research the issue specifically, but one
possibility is that there was a 3:2 stock split (120 => 180)
after you bought the initial 120, with 1/3rd ($5.17 /
$15/50) of the basis adjustment applied to the 60 additional
shares that weren't sold. .

Bob Daniels

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

ok what am I missing? I understand that the return of
capital will reduce your cost basis when you sell. I have
an Ameritrade account and they have a partnership with
Gainskeeper. So Gainskeeper calculated all my Schedule D
information including adjusting my basis. However, it did
not apply all the Return on Capital to my sale. Here is the
information...

Bought 120 shares on 2/15/05
Dividend received $74.40 on 3/31
Sold 20 shares on 5/18
Sold 100 shares on 5/18 at different price
Bought 120 shares on 12/09/05

1099B lists the following
Total Capital Gain Distributions
Long Term Gain - 58.90
NonTaxable Distributions
Return Of Capital - 15.50
($58.90 + $15.50 = $74.40 received on 3/31)

Gainskeeper reduced my basis on the 20 shares by $1.72 and
reduced my basis on the 100 shares by $8.61. That is a
total of $10.33, leaving $5.17 of my Return of Capital.

Considering that I received the return of capital on 3/31
when I owned 120 shares and then I sold all those shares on
5/18, why wouldn't the full $15.50 be applied to the sale on
that day?

Thanx.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >