In 2015 Split of HPQ and HPE 47.15% basis to HPQ and 52.85% basis to HPE http://h30261.www3.hp.com/faq/separation-faqs.aspx
I just went through all the HPE spin offs for 2017
You can not have losses, they just reduce cost basis. A few Cash in Lieu (CIL) and a Seattle Co sale that yes you can have a large gain on that you do report, you then increase your basis in the new company Micro Focus by the basis you had allocated to Seattle Class A plus the gain recognized.
Took me a while to figure it all out. Here are links to HPE basis allocations.
There were 2 spinoffs/reorganizations from HPE this year.
1. was 3/31 Everett distribution, merged to CSC, and CSC is surviving company: HPE 75.1% of basis, Everett 24.9% and you got .085904 shares of Everett for every HPE. You may have CIL, Ultimately Everett named DXC Technologies.
http://investors.hpe.com/~/media/Files/H/HP-Enterprise-IR/documents/everett-6045B-statement-form8937...
2. 9/1 distribution Seattle Class A, Micro Focus. HPE basis 77.92%, Seattle Co 22.08% got 1 for 1 and Seattle co gets sold recognize a gain, no losses. Allocate the Seattle Co basis plus the gain (plus the loss) to ultimate shares of MicroFocus .13732611 Micro Focus ADS for every Seattle co.
http://investors.hpe.com/~/media/Files/H/HP-Enterprise-IR/documents/seattle-6045b-statement-26092017...
**I don't work for TT. Just trying to help. All the best.
***Say "Thanks" by marking as BEST ANSWER and clicking the thumb icon in a post and that I solved your question
**Mark the post that answers your question by clicking on "Mark as Best Answer" I am NOT an expert and you should confirm with a tax expert.
