Hut 8 Corp HUT

Bank calculations regarding 5:! consolidation

[checkup]

Anyone here having trouble with their trading acccounts having trouble with HUT's merger and consolidation?  My RBC accounts are inaccurate or I am missing something.  The book cost should not change.  The number of shares and the average cost/share should change.

[Minray]

Hello Checkup, I'm having the same similar issue with my cibc trading account as well. I should be down in terms of my average price per share cost but it's showing me I'm only 1.% down. That's completely inaccurate - I still have a way to climb before breaking even.

[Hotdoger]

Same problem at TD

[checkup]

I asked RBC about the update;  This is their reply: Thank you for your patience while we reviewed case. Our operations team has confirmed that the book value of HUT 8 Mining holdings after the share consolidation changed because the company confirmed that its a taxable event, as a result of the cross-border merger. Therefore the book costs were updated to the Fair Market Value as

[SevenM]

Hi there, because it was a cross-border merger the CRA treats the transaction as though your pre-merger shares were sold and then the post merger shares bought.  For shares not held in a TFSA or self-directed RRSP, this will have incurred a tax loss for most of the longs which we will apply against the gains when we sell. Hope that helps.  :) Good luck everyone! Seven.

[SevenM]

To clarify, those of us who incurred a tax loss can apply it against any gains, not just when we sell HUT.  LOL Cheers! Seven.

[checkup]

A forced liquidation.... why didn't they just say so?