I was in a firm's dividend reinvestment Program (DRIP) for many years, leading to a total of 63 purchases over fifteen years.
Last year, they executed a reverse split, which left me with a non-integer number of shares. They sold off the fractional share, sending me a check for the proceeds. This happened just ten months after their last dividend payment, so it included (as far as I can tell) both short- and long-term losses.
How do I apportion the proceeds between the two? Do I really have to document every one of the 63 purchases in order to show the basis for that fractional share?
Taking matters further, I looked at their mid-term plans and decided to get out while I could salvage something. However, by the time that I made this decision, the DRIP had generated another fractional share. So when I sold out, the whole number of shares was sold as one transaction, and the fractional share was sold separately. Due to associated fees, all that I got for the fractional share was a statement -- there wasn't any money left for me.
Obviously, the sale of this new fractional share was all short-term. But, for the other shares, I have the same issues as for the sale of the first fractional share: how do I allocate short- and long-term? How do I document the basis for each?
Thanks,