We understand that there is a tax benefit by transferring
some of our most appreciated stock to withdrawing members.
We have cash to repurchase that stock. Are there
implications in doing this that we need to be aware of?
Sandy
Laurie Frederiksen on
Hi Sandy,
As long as you are transferring shares on which you have a gain, you should not have a problem. In fact that is a good plan if you still like the company and feel you would hold it for more than a year.
You can repurchase the same stock immediately. You'll have a new, updated basis in your repurchased shares and your holding period will begin on your new purchase date.
Laurie Frederiksen Invest with your friends! www.bivio.com
We understand that there is a tax benefit by transferring
some of our most appreciated stock to withdrawing members.
We have cash to repurchase that stock. Are there
implications in doing this that we need to be aware of?
Sandy
Sandy Smith on
Thank you. This is good news.
From: club_cafe@bivio.com [mailto:club_cafe@bivio.com] On Behalf Of Laurie Frederiksen Sent: Wednesday, October 14, 2015 9:51 AM To: The Club Cafe Subject: Re: [club_cafe] Repurchasing stock
Hi Sandy,
As long as you are transferring shares on which you have a gain, you should not have a problem. In fact that is a good plan if you still like the company and feel you would hold it for more than a year.
You can repurchase the same stock immediately. You'll have a new, updated basis in your repurchased shares and your holding period will begin on your new purchase date.
Laurie Frederiksen Invest with your friends! www.bivio.com
We understand that there is a tax benefit by transferring some of our most appreciated stock to withdrawing members. We have cash to repurchase that stock. Are there implications in doing this that we need to be aware of? Sandy