How can I determine the tax basis of my American Express shares and the Ameriprise shares I receive in the distribution?
As a consequence of the distribution, you will need to allocate the tax basis in your American Express shares immediately before the distribution between your American Express shares and your newly-received Ameriprise shares (including any Ameriprise fractional share for which you receive cash). One possible measure of this, based on the relative market prices of the shares of the two companies immediately after the distribution, results in an allocation of the tax basis of your American Express shares as follows: 87.53% to your American Express shares and 12.47% to the Ameriprise shares you receive.
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- How can I determine the tax basis of my American Express shares and the Ameriprise shares I receive in the distribution?
