scottsdad,<<<When a company announces that it will split its shares two for one in the form of a stock dividend....how does that work? If I own 100 shares at $50, do I then own 200 shares at $50? And I have to pay capital gains on $5000?>>>It is the same thing as a plain, old stock split. After the split, you will own 200 shares at $25. This is not a taxable event.TMF DawnRule Maker Top 25 downloadSave 60% with this link!http://www.foolmart.com/Shopping/Product_View.asp?PRODUCT_ID=MF032_01&PID=64S26C7G0K&REF=CSBO01118
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