How to do a scheme of arrangement in Reckon Personal Plus

Leanne VeitchLeanne Veitch Member Posts: 10
Tabcorp took over Tatts group by a SOA.  Tatts received 0.80 Tabcorp shares and $0.265 cash for every share held, and a $0.016 Tatts special dividend.  How is this processed in the investments section of Reckon as I don't see a SOA option and the transfer to the new security is not working


  • ShakirShakir Alumni Posts: 82
    edited January 2018
    Hi Leanne, thanks for reaching out to us.

    Here is the knowledge base article to handle such transaction in Reckon Accounts Personal range software.

    Hope it helps

  • John CampbellJohn Campbell Member Posts: 239 ✭✭
    edited January 2018

    When recording these transactions, my main aim is to preserve the capital value I am holding.

    First, the special dividend should be recorded as a dividend, hopefully franked.

    Then, the cash return is a return of capital so will reduce the capital value of Tatts shares you held.

    You now have the reduced/residual capital value of your Tatts shares.

    If you don't have TABCORP shares, you could simply do a restructure to 0.8 new shares per old share and rename the security, ie a non-capital gains event.

    Or you could document sale and buy transactions for the same capital value. Two possible capital values could be used.

    1) I would document sell/buy for the residual capital value of Tatts shares, documenting that no capital gains event took place.

    2) Alternatively you could document sell/buy for the current market value of Tatts shares. This may be a capital gains event.

    The documentation supplied by Tatts will probably indicate if this is required, ie a capital gains event needs to be declared.

  • Leanne VeitchLeanne Veitch Member Posts: 10
    edited January 2018
    Thanks....will give it a go
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