RE:RE:RE:RE:RE:RE:RE:RE:My Bank Broker just told mehevin wrote: I hate quoting the Motley Idiot, but read the third paragraph. I hope they and I am wrong!
https://www.fool.ca/2020/10/30/should-you-put-u-s-stocks-in-your-tfsa/
CommonCentsforDollars wrote: No, there are NO tax implications. NONE. How could there be? Aphria bought Tilray. No tax implications, regardless of what type of account you hold this in.
Again, NO TAX IMPLICATIONS. NONE.
hevin wrote: I concur! However, seems Scotiabank doesn't...they transferred my Apha TSX shares to Tilryay NASDQ shares, so I'm pissed off. There's also tax implications, even in a TFSA, should Tilray begin paying divvy's which they have signalled prevously they'd like to.
CommonCentsforDollars wrote: If you owned APHA on the TSX your shares will become TLRY TSX.
If you owned APHA on the Nasdaq your shares become TLRY on Nasdaq.
No tax's, no need to even discuss exchange rates.
eom
momo
Oldweed wrote: hevin wrote: thanks, but is the conversion a taxable event? I thought not, as otherwise they'd be taxing us twice..as an apha holder to tilray, then later as a tilray holder who's selling....confused.
Oldweed wrote: The way I read the deal was TLRY would remain on Nasdaq and Canadian APHA shares would be converted to to US TLRY shares with a conversion rate of 0.8381, and some time after the merger TLRY would list on the TSX.
I'm not sure how it could be? I thought the conversion rate of 0.8381 was to account for the higher US dollar so assuming the exchange rate remained the same so would the actuall share value. The Canadian dollar is curently stronger than it was at the time of the deal so there is possibly a small capital gain due to the merger but with the pressure on the shares your balance is likely less than what you came in with so how could you possibly be taxed on the merger event if you can claim a capital loss?
Yep, US will be looking to grab every penny they can if and when TLRY announces a divy. Currently TLRY has no divy and you will have ample time to sell if and when they announce one and repurchase TLRY on the TSX, so worst case scenario it costs you 20.00 to repostion and avoid any IRS issues.