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URL:  http://boards.fool.com/could-someone-please-explain-why-drips-are-such-a-26791571.aspx

Subject:  Re: Dividend Reinvestment - A Tax Nightmare? Date:  7/6/2008  6:33 PM
Author:  JeanDavid Number:  101272 of 121565

Could someone please explain why DRiPs are such a tax nightmare? Can't I just keep a "cost-average" and then use that number to determine my gain or loss when I buy or sell?

Others have answered why it "has to" be a nightmare. But an alternative, if you wish to participate in DRIPs, is to do it inside an IRA or a Roth IRA.
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