Vodafone Shares just to revist the Post

[Cityliving]

Hey There,

I`ve read (and re-read) the posts about the vodafone shares thing and have absolutely no idea how to conclude this issue.

I have inherited 69 shares as of 2006 start. I am filing my 2006 taxes and I`ve recorded my very small dividends so that I know where I stand with that.

I was then told that I got a small "Capital Repayment" on the 11 Augest. How do I include that in my taxes as its not a dividend and how could it be Captial Gains since the shares are worth so much less then when purchased.

Please help! I`m submitting soon

Thanks

 

[ClubMan]

It depends on how you opted to receive the Vodafone distribution of capital to shareholders. As far as I recall there were two if not three options each of which had differing tax treatments. Unfortuantely this stuff is (in my opinion) pathalogically complex from a tax point of view!