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    johnbroadfoot's Avatar
    johnbroadfoot Posts: 1, Reputation: 1
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    #1

    Apr 8, 2007, 11:24 AM
    Calculating stock split vlaues
    We inherited some stocks in 1995 and they split 4:1 since they. We sold some in 2005 and some more in 2006.

    How do I calculate their value at the time of the split. We know their value at the inheritance time.

    Thanks.
    The Texas Tax Expert's Avatar
    The Texas Tax Expert Posts: 310, Reputation: 7
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    #2

    Apr 8, 2007, 12:20 PM
    Take the value at inheritance time, then subtract out the percentage that you sold in 2005. Then take the remaining basis and divide by the current shares. For example, say you inherited 100 shares at a value of $100. Your total basis is $100. Then you sell 40 and keep 60. This means your remaining 60 have a basis of $60 (60% of $100).

    They split and you now have 200 shares. The total basis is $60 and the basis per share is $60/200.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
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    #3

    Apr 17, 2007, 10:44 AM
    TTE covers it rather well; no additional comments!
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