return of capital

[lee_ad]

Hi there!

I am new to Fund Manager and I have been entering the transactions into the program. I noticed that the Return of Capital is not reducing my cost basis for my mutual funds. I am entering the RoC using the Data Register/Distribution/changing the Distribution Type to Return of Capital. Am I doing this correctly or am I missing something?

I thought the RoC is suppose to reduce the cost basis for mutual funds and other equities too.

Thanks for all the help!
Andrew

[Mark]

Hi Andrew,

Yes, Return of Capital distributions will reduce your tax cost basis. Where are you viewing the tax cost basis?

[lee_ad]

Hi Mark,

I was looking on the main page under the column "Values", but then realized that is the market price of the fund/equity.

Where can I see that RoC has reduced my cost basis?

Thanks!
Andrew

[Mark]

Hi Andrew,

There are several ways:

1) Create a Custom report with the field "Tax basis, Assigned Method".

or

2) In the Portfolio Editor use "View / List Columns..." and add the field "Basis".

or

3) Create an Open Lots report and under the Preferences... make sure the field "Tax Basis" is being displayed.