I have foreign Tencent ADR holding and it issued some redemption right (JD equity) on the same day that the sponsor bank sold and dispatch the cash to my account. Then after a year, they filed 1099-B with short term transaction with cost basis not reported:
1. I purchased ADR over one year when this dividend was released, what cost basis should I report?
Why we treat as short term transaction as my ADR purchase was over one year and should be treated as long term?
2. Another unrelated question is, This annual ADR dividend was reported as non-qualified dividend, should it be qualified dividend since my ADR purchase over one year to save tax? Asked company investor relationship but got no response.