RE:RE:RE:ACB treatment of the Special dividend
kraftdinner wrote:
The corporate website indicates the special distribution to be interest for the T-slip of $0.97 per share distributed as shares using a 5-day weighted average price of $18.93 to determine the number of shares allocated.
The shares did show up in my account with the calculated interest and no added commissions. It looks like the broker kept $9.14 left over after calcualting the number of whole shares. There was no trade receipt to confirm a trade.
I think the proper way to recalculate the ACB is to add the new shares to your cost basis with the calculated interest cost. The dividend is not classified as a return of capital but as interest.
You can slice your apple any way you like, as for me the shares were given to me at no cost to me, how they came doesn't matter to me in my cost basis other than I have more shares with no added capital deposited. I hold it in a TFSA so any ROC or interest calculations don't matter to myself thus I ignore it.
Did you receive your Cash In Lieu yet? I got mine on Friday morning, maybe that's the $9.14 your broker is witholding?
| MCAN MORTGAGE CORP CIL ON STOCK DIV CIL PRICE C$17.62 REC 03/15/22 PAY 03/31/22 | MKP | Apr. 8, 2022 | Apr. 8, 2022 | CAD | EXCHADJ | 0 | 0.000 | 9.15 |
I don't understand where the price of $17.62 comes into play in relation to my transaction when as you state the exchange price was $18.93. I should backtest it, but I'll likely be frustrated in fully understanding what's gone on if there is a discrepancy lol. I got the share count I estimated and CIL, I'm content. I've had the bank call me to inform me of a fix they made to a payout I had recieved a few months prior on a US position, so I'm sure if there was an added adjustment to this they would do the same process...