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Re: BonnieMac post# 71041

Monday, 07/05/2021 5:19:36 PM

Monday, July 05, 2021 5:19:36 PM

Post# of 118407
Bonnie
Another reason for stock buy outs instead of cash, is the tax consequences.
A cash buy out and you are taxed on the the whole enchilada according to your tax bracket and date of purchase---unless this has been changed by the IRS

If it is a stock swap---there is no sale and no tax incurred===you exchange your $200,000 of RGBP for $200,000 of XYZ-----your date of purchase of XYZ remains the same as the day you bot RGBP----unless that has been changed--