Entering taxable corporate spin-off, Qkn 2019

[John K]

GE recently did a taxable spin-off of Wabtec stock. How should this be entered in Qkn 2019? The Help message says to (1) enter a MISC INC transaction from GE, with the amount being the value of the spun-off shares, followed by (2) an ADDED transaction for the new shares in Wabtec. However, in doing this, the miscellaneous income stays in the cash balance of the account. How should this be handled?

[Zaidy036]

Post by John K
GE recently did a taxable spin-off of Wabtec stock. How should this be entered in Qkn 2019? The Help message says to (1) enter a MISC INC transaction from GE, with the amount being the value of the spun-off shares, followed by (2) an ADDED transaction for the new shares in Wabtec. However, in doing this, the miscellaneous income stays in the cash balance of the account. How should this be handled?

I suggest waiting for the official GE investor's information on the
exact treatment of the Wabtec spinoff so that your cost basis of GE
stock can be allocated between GE and the new Wabtec shares. If you
received a fractional share it was sold and one must calculate the
CapGain so need cost allocation.

If you find official GE info please post here since when I searched I
cannot find it yet.

[Zaidy036]

Post by John K
GE recently did a taxable spin-off of Wabtec stock. How should this be entered in Qkn 2019? The Help message says to (1) enter a MISC INC transaction from GE, with the amount being the value of the spun-off shares, followed by (2) an ADDED transaction for the new shares in Wabtec. However, in doing this, the miscellaneous income stays in the cash balance of the account. How should this be handled?

I suggest waiting for the official GE investor's information on the
exact treatment of the Wabtec spinoff so that your cost basis of GE
stock can be allocated between GE and the new Wabtec shares. If you
received a fractional share it was sold and one must calculate the
CapGain so need cost allocation.

I have been searching for the official GE info online and cannot find it
so please post the source if you find it.

[John K]

Post by John K
GE recently did a taxable spin-off of Wabtec stock. How should this be entered in Qkn 2019? The Help message says to (1) enter a MISC INC transaction from GE, with the amount being the value of the spun-off shares, followed by (2) an ADDED transaction for the new shares in Wabtec. However, in doing this, the miscellaneous income stays in the cash balance of the account. How should this be handled?

Since this corp spin-off is taxable, I'm pretty sure the original GE cost basis is not allocated between the GE shares and the Wabtec shares. I just found out the cash-in-lieu for the fractional share, which I assume is taxable income.

[John Pollard]

"John K" wrote

GE recently did a taxable spin-off of Wabtec stock. How should this be
entered in Qkn 2019? The Help message says to (1) enter a MISC INC
transaction from GE, with the amount being the value of the spun-off shares,
followed by (2) an ADDED transaction for the new shares in Wabtec. However,
in doing this, the miscellaneous income stays in the cash balance of the
account. How should this be handled?
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https://community.quicken.com/discussion/7850048/ge-wab-spinoff-with-cash-for-partial-share

[John K]

Post by John K
GE recently did a taxable spin-off of Wabtec stock. How should this be entered in Qkn 2019? The Help message says to (1) enter a MISC INC transaction from GE, with the amount being the value of the spun-off shares, followed by (2) an ADDED transaction for the new shares in Wabtec. However, in doing this, the miscellaneous income stays in the cash balance of the account. How should this be handled?

John...Thank you. That explains it well. If only Qkn would at least clean up its Help info ...