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Author: ptheland Big gold star, 5000 posts Feste Award Nominee! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76418  
Subject: Re: stupid question about figuring basis Date: 3/1/2009 9:37 PM
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If, just for example, $20 dividend distributed March 30 buys 1.5 shares while the June 30 one yields $22 and 1.7 shares, how and if will I figure the (split?) holding period.

There is no split of importance. You just have 1.5 shares purchase on 3/30 and 1.7 shares purchased on 6/30.

From your posts, if correctly understood, each time divs are paid out and reinvested, I should keep track of that date as a separate list of a transaction.?

Correct.

In above hypothetical, trade date would=March 30, purchase cost=$20, and number of shares=1.5. If I am correct holding period would begin March 31, so if desiring to sell long-term, I would wait one year from the 31st, at least.

Correct again.

And if you happened to sell these 3.2 shares between 3/31 and 6/30 of the following year, 1.5 shares would be long term and 1.7 would be short term.

--Peter
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