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I was reading your explanation of tax consequences of stock splits and the general definitions of stock splits, stock dividends and stock spinnoffs. You described stock splits and stock dividends and the same beast. In fact, as you undoubtedly know there are differences between a stock split and a stock dividend. I was interested in why you did not define the two correctly.

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No. of Recommendations: 5
I was reading your explanation of tax consequences of stock splits and the general definitions of stock splits, stock dividends and stock spinnoffs. You described stock splits and stock dividends and the same beast. In fact, as you undoubtedly know there are differences between a stock split and a stock dividend. I was interested in why you did not define the two correctly.

please e-mail me


Asked on the board, answered on the board. Stock splits and stock dividends (shares of stock given for each share you currently own) are the same thing. Perhaps you are thinking of cash dividends paid on stocks and/or reinvested cash dividends. Each of these is different from splits/stock dividends.

Ira


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