Should I tell Quicken I sold 0.57841 shares, and if so, which lot did I sell and what kind of taxes are due therefore? Is there a better, more correct way?There is only one correct way to do it, and it's what Patzer said: the cash-in-lieu payment for a fractional share is treated as sale, with basis and holding period derived from the earliest shares you held (using the default FIFO method of identifying shares sold). So you'll have a capital gain or loss.As another poster notes, Etrade isn't very good about reporting this, either as a 1099-B entry (which it should be) or as a dividend (which it isn't). You *should* report it, although that will make your total sales figure on Schedule D a bit different from what Etrade reports to the IRS. (But no problem - the IRS doesn't care if you report more than what Etrade says you received; they only care if you report less.)And for what it's worth, Etrade didn't do this to make things difficult for you! In any kind of split, merger, or spinoff, when you're issued some number of new shares based on the number of old shares you had, you'll always receive whole shares only, with a cash payment for any fractional shares you're entitled to. (In other words, it was GRMN that gave you the cash-in-lieu payment. Etrade just passed it on.)Lorenzo
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