Message Font: Serif | Sans-Serif
No. of Recommendations: 0

In 1996 we were issued LU stock as we were AT&T shareholders.

#1 - What basis do we use when this was issued as a result of our owning stock?

#2 Do we still get the price as of that date as our cost basis?

3. If we were to sell that LU stock today, after the split, what would our cost basis be?

Issued to us in 1996 at $50.00 share
We sell that original stock now, after the split, for $64.00. Would our cost basis that we are taxed on be the difference between 50 and 64?

Or would we have to use -0- basis because we didn't actually pay cash for these shares?

Same question on the shares that split since 1996 (two splits)



Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.