@Rick19744 thanks for the input. So, what happened was on 09/23/19 they announced their "intention to file the Certificate of Dissolution on October 4, 2019". On 09/26/19 they gave us a liquidation. On 10/02/19 I sold all my shares. On 10/04/19 they "filed a certificate of dissolution". This is why I got the 1099-DIV for that liquidation/dividend and then the 1099-B for the sale.
So, looks like per your suggestion I need to change how I'm reporting this. Instead of setting my cost basis to $0 for the 1099-DIV and using the cost basis for the 1099-B, I need to actually compute the cost basis for each block and report the total cost basis for the 1099-DIV. Then I need to use the remaining cost basis, which in my case will probably be $0, for the 1099-B.
Relevant FAQs:
- As previously announced, the Fund notified The NASDAQ Global Select Market (collectively with the Nasdaq Stock Market LLC, “Nasdaq”) on September 23, 2019 of its intention to file the Certificate of Dissolution on October 4, 2019, and Nasdaq halted trading in the Shares on Nasdaq following the close of regular trading on October 2, 2019. Nasdaq has advised the Fund that trading in the Shares will be indefinitely suspended prior to the opening of trading on October 7, 2019, and that Nasdaq will thereafter file with the Securities and Exchange Commission (the “SEC”) a Notice of Removal from Listing and/or Registration on Form 25 to cause the Shares to be delisted.
- On October 4, 2019, the Fund filed a certificate of dissolution with the Secretary of State of the State of Delaware. The Certificate of Dissolution, which became effective at 4:00 p.m. Eastern Time on October 4, 2019 (the “Effective Time”), provides for the dissolution of the Fund under the General Corporation Law of the State of Delaware. In connection with the filing of the Certificate of Dissolution, effective as of the Effective Time, the Fund closed its stock transfer books and discontinued recording transfers of its common stock, $0.001 par value per share (the “Shares”). Record holders of Shares are no longer able to transfer record ownership of their Shares on the Fund’s stock transfer books, other than transfers by will, intestate succession or operation of law.
