Ventura Cannabis and Wellness Corp CVHIF

Buyers of CVHIF shares

[Hiimehab]

Who is buying these CVHIF shares and is it one or many buyers? Will these buyers ante up to 10 cents anytime soon...

[davgro]

I doubt you will see over USD $ 0.04 for CVHIF shares moving forward. Food for thought if you were holding VCAN in an unregistered account: there will be a tax liability owing on the value of all the VIBE shares you receive as part of the transaction as they are considered a stock dividend and taxed accordingly. unless you sell your CVHIF shares you will not get the capital loss that

[lscfa]

You can gift your junk CVHIF shares to your broker and they will remove them from the account letting you crystalize a capital loss but don't be too hasty. There is possibly a 3rd distribution to be paid out as co. winds down, assuming bozo VCAN mgmt is prudent.   

[davgro]

Come on, lets be realistic.  Even if there was $500K in cash, assets or other goodwill left in the company, that equates to about $ 0.01 a share distribution across about $37M shares.  That includes the significant legal and other costs involved in facilitating such a distribution. I'd prefer to take my USD $0.05 a share I received in selling them on the OTC versus gifting them to

[lscfa]

You're were damn lucky to get anything selling the CHVIF shares considering you can't place a limit order. Others selling at market will get screwed.  

[davgro]

Contrary to my original research and the original information I was told by a representative at TD Direct Investing, I was able to place limit orders for CVHIF with extended expiry dates on each limit order.  Initially I broke up my holdings into multiple orders ranging in size from 5K to 10K and laddering the ask price for my these orders.  I did periodically change the ask

[lscfa]

Here's a thought. The mgmt circ. estimates a 3rd distribution of $600,000/ 37 mil shs = $0.016/sh.   Maybe the co. has recovered or is about to recover some old o/s receivables from insurance co.s which will boost the 3rd distribution to $0.05/Sh, $0.10/sh and some sleazy people with inside info are the ones bidding on CHVIF shares.

[davgro]

Yep that's what's happening and 28% of Dominion Voting Systems is owned by Hugo Chvez's family, not to mention the fact that their software changed votes to steal the election for Joe Biden and the Democrats. LMFAO.  You are welcome to your opinion of CHVIF and any future distributions.  Based on management's past track record I am happy to have sold my CVHIF shares

[Bananabrainz]

Looks like davgros worried he made the wrong decision. If CVHIF pops for some reason, I'd feel your pain man. Happened to me many times elsewhere. I'm holding this till it disappears or I recoup losses. Time will tell. Having said that, this manipulation we've seen in the past with vcan seems to indicate management may have had something up their sleeves as few others are speculating

[DashForCash]

Great advice Davgro! Quick follow up question if you may know the answer -  the tax liability you talk about related to the dividend - is that applicable to the year 2021? Or only if or when you sell the dividend shares as in down the road if you sold them next year or later?

[davgro]

The tax liability on the stock dividend applies in the year you receive the VIBE shares in your account i.e. 2021 regardless of whether you sell or keep your VIBE shares. The stock dividend sets the Adjusted Cost Base (ACB) for your VIBE shares ($1.0341 for 1st tranche).  If you sell your VIBE shares for more than your ACB you will have a capital gain, less and you will have a capital loss.

[DashForCash]

Helps a ton Davgro! Appreciated!

[davgro]

Just to add to my previous post re: tax consequences of the VCAN transaction(s).  There is no immediate tax liability related to the VIBE warrants you receive outside of RRSPs, TFSAs or other registered accounts.  Under the Income Tax Act s. 15(1), s. 49(3)(b): When a corporation grants, to existing owners of its common shares, rights to acquire additional shares of the

[dileas48s]

....and just a tiny bit more clarity: There is zero tax consequences for shares / warrants you receive inside a TFSA, RSP, or RESP. It's kind of a burn that you get VIBE shares and warrants who's value is way below initial investment cost for CXV/BLVD/VCAN but capital gains will hit for selling with an SP above $1.06 (for the shares anyway).

[davgro]

The whole transaction was a slap in the face to VCAN shareholders especially if you held VCAN shares in unregistered accounts.  Management in all its wisdom decided to do this transaction as a distribution to shareholders instead of a merger or takeover.  As such: * you will pay tax on the stock dividend (i.e. total value of VIBE shares you receive) * in addition, you will pay a capital