The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies

URL:  http://boards.fool.com/i-hope-you-do-not-have-much-in-the-old-days-i-29870245.aspx

Subject:  Re: Stock price history of defunct companies Date:  2/25/2012  6:34 AM
Author:  JeanDavid Number:  115218 of 121146

I hope you do not have much.

In the old days, I owned two mutual funds that paid dividends monthly. I had the dividends and capital gains reinvested. I moved several times during that period. 10 years later I sold them and tried to get the cost basis. I had to pay $50 to each mutual fund company as a research charge to get the answer for the IRS. They were not great mutual funds, so I had made less than $50 each; less if you count the opportunity cost. This was in the mid 1960s. I could have bought Berkshire Hathaway for under $100/A-share at the time if I knew about it, and if I knew how to get it. That is the opportunity cost.

I had 10 shares of another mutual fund my grandmother bought me when I graduated from high school (1956). I decided not to pay a research charge and donated those shares to a charity. Let them figure it out. Actually, the charity did not have to figure it out.

So if you are lucky, you can give the shares to a charity. And at least get a tax deduction.
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us