[[I own several shares of CILCORP which have made very good gains. CILCORP is being bought out by AES on a strictly cash deal, there are no options to take AES stock.]]Bummer...[[ My question is this: Since this is a forced sale, can I roll all the money over into another utility stock without having to pay capital gains until such time I sell the new stock that I roll the money over into?]]Nope. Sorry. Regardless of if the sale is "forced" or not, once the sale is made, you must recognize the gain. This is the VERY reasons that business combinations and mergers are done with company stock rather than cash. If you were given stock in the new company (in exchange for your old shares), there is not tax event. But because you are given cash, it's a taxable event.Sorry...TMF TaxesRoyWant to learn more about taxes and investing? Then we have a deal for you!! The Motley Fool Investment Tax Guide is now available through Fool Mart. Be the first one on your block to own this masterpiece. It'll help you with your 1998 taxes, and it's never to early to start planning for your 1999 taxes. So just click on this link (http://www.foolmart.com/market/product.asp?pfid=MF+013+I) to read more about this amazing collection of tax information. (Apologies for the shameless plug…but it is a pretty good book…if I do say so myself). In addition, if you would like to visit the Taxes FAQ (Frequently Asked Questions) area, click on http://www.fool.com/school/taxes/taxes.htm and you'll be right at the home page. Check it out. Finally, if you need to get to the IRS web site, click on http://www.irs.ustreas.gov to go directly there.
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