☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Returning Member
posted Mar 3, 2021 5:36:33 PM

Reverse stock split

I'm not sure how to report a capital gain when there is a reverse stock split. I bought 161 shares in early 2020. There was a reverse stock split that brought my total number of shares down to 16. I then sold all 16 stocks in mid 2020. How many shares do I report that I had on the capital gains/losses screen?

0 1 287
1 Replies
Level 4
Apr 12, 2022 8:11:05 PM

As per the Canada Revenue Agency (CRA), you must report the new quantity and ACB of the shares, rather than the old one. Therefore if 160 shares have then received a reverse-split, and for example purposes the price per share was $10, after the reverse-split it will become $100, you will report a quantity of 16 and an ACB of $100 per share, and then the proceeds of whatever new price you sold it at. All of this information can be found on the CRA article:

Stock splits and consolidations.

 

Thank you for choosing TurboTax.