Q: TC Energy has set the date for the South Bow spin off (I believe Oct/24 - not sure if it was the beginning or end of month) I read that the spin off will not be subject to capital gains until it's sold, that much seems straight forward.
Can you please help me understand how the Average Cost Base will be established, will it be the price of the South Bow Shares at the outset of trading on day one?? I'm assuming the Cost Base for the remaining TC Energy shares stays the same, even tho the share price will be reduced to reflect the pricing of South Bow.
Thanks
Can you please help me understand how the Average Cost Base will be established, will it be the price of the South Bow Shares at the outset of trading on day one?? I'm assuming the Cost Base for the remaining TC Energy shares stays the same, even tho the share price will be reduced to reflect the pricing of South Bow.
Thanks
5i Research Answer:
There are 200 pages of the circular available here which has a large section on tax. The...