Liquidation Distributions

Liquidation Distributions

A return of capital received because of a partial or complete liquidation (going out of business) of a corporation. The basis of the stock on which liquidation distributions are paid is reduced by the amount of the distributions. Any amount received in excess of basis in the stock is taxable. In a liquidation that results in cancellation of the stock, a loss can be claimed the year the final distribution is received if total distributions are less than the taxpayer's basis. Report liquidation distributions on Schedule D, IRS Form 1040.
References in periodicals archive ?
734 basis adjustment resulting from deferred liquidation distributions to a retiring partner or a deceased partner's successor is to be made at the time of the transaction or as the payments were made.
It would also effectively implement congressional intent in repealing the General Utilities doctrine by not only taxing corporate level gains on corporate liquidation distributions but also allowing the deduction for most losses at this level.
KBL cannot make any assurance as to when such plan will be completed and when liquidation distributions will be made.
Accordingly, Victory cannot make any assurance as to when such plan will be completed and when liquidation distributions will be made.
The Company expects to make liquidation distributions to the public stockholders as soon as practicable.
NEW YORK -- Shanghai Century Acquisition Corporation (the "Company") (AMEX: SHA, SHAWS, SHAU) announced today that the Company has set August 28, 2008 as the record date ("Record Date") for determining the public stockholders entitled to receive liquidation distributions.
However, unless and until these indemnification claims are resolved to the Company's satisfaction, the Company does not anticipate making any liquidation distributions.
BOSTON -- AEW Real Estate Income Fund (AMEX: RIF) today announced the record date and payment dates for the liquidation distributions on the Fund's common shares and preferred shares and for the final capital gain and ordinary income distributions on the Fund's common shares.
Holders of shares of the Fund's common stock will receive their liquidation distributions without further action on their part.
The Fund will separately announce the record date and the payment date for any liquidation distributions in respect of the Fund's shares of common stock (as noted in the Fund's proxy statement relating to today's special stockholders meeting).
The Company no longer operates an active business and has commenced liquidation distributions to its shareholders.
The liquidation distributions were approved by the Company's independent directors and disclosed in public reports filed by the Company with the Securities and Exchange Commission in May and August of this year.