Re: Version 8 feature

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Posted by Mark on October 17, 2006 at 13:26:01:

In Reply to: Version 8 feature posted by Jamie on October 17, 2006 at 12:57:21:

: I mentioned at the beginning of the year that I have an unique situation dealing with the cost basis of a Qualified Electing Fund (QEF) where ordinary earnings of the Passive Foreign Investment Company (PFIC) are reported on an individual taxes as dividends. No money is distributed and no additional shares are allocated. In order to increase the cost basis, I need to check "reinvested". But the problem is FM will not allow me to type in "0" for number of shares. I tried this in v8 but no go. Anyway to let "0" be a valid entry in v8 beta? If so, I would need the same for capital gains.

Hi Jamie,

As you've observed you still can't have a reinvestment of 0 shares. I can't say I recall/understand your exact situation here, but if you want to increase your cost basis for tax purposes you can record a non-reinvested "Account Fee" distribution type. The "Account Fee" and "Return of Capital" distribution types are unique, in that they are factored into your tax cost basis. An account fee increases your cost basis, and a return of capital reduces it.

Thanks,
Mark
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Fund Manager - Portfolio Management Software

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