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Transactions / GE Spinoff of GE Transportation

« on: November 27, 2019, 11:54:18 AM »

Has anyone determined what the tax consequences of this transaction is? It appears that the spinoff is taxable to GE share holders with a reduction in GE basis. If so how should this be accounted for in IAM?

2

Transactions / Re: Spinoff of Baxalta Inc. from Baxter International

« on: June 10, 2016, 07:28:27 AM »

I recorded the exchange of Baxalta for Shire including boot. The audit report indicated that the 'boot. amount would be treated as return of capital thus reducing basis on the Shire this did not happen. Why do the reports not follow what the audit report indicated would happen?

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Transactions / General Motors pfd B Conversion

« on: December 07, 2013, 10:06:10 AM »

I received shares of GM common and cash in lieu in exchange for the convertible GM-B. How do I record this transaction? The conversion was 1.3736 shares of GM for each preferred share. I believe that the cash is treated as a sale of fractional shares. I would like to maintain the original purchase date of the preferred as the basis date for the newly issues common. Any suggestions?