Is OPL a right off now?

Discussion in 'UPS Discussions' started by sendagain, Feb 3, 2008.

  1. sendagain

    sendagain Member

    Now that the stock is gone, do we now right off all our shares as a loss on our taxes? I seem to remember a letter saying we couldn't declare a loss until the shares were liquadated. Also, do we have to subtract the liquadation dividends from the actual loss of share value? Anybody out there know?
  2. badpal

    badpal Member

    Well i not a tax expert but take the total of the distributions you have got since 2003 substract from your cost basis total take difference as capitol loss. At least that i going to try to do.?
  3. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    This may be worth a phone call to a tax professional.
  4. OldUPSDriver

    OldUPSDriver New Member

    The OPL website has the formula for taxes.
  5. UPS Lifer

    UPS Lifer Well-Known Member

    Based on everything that I have seen - my guess is you will have very little loss to claim. ....maybe you may even show a gain !!

    I don't recall paying any tax on OPL stock. (??) If you purchased 4 shares of UPS stock you received 1 share of OPL. You can't claim a loss on monies that were not cashed in.

    If you didn 't pay for the share how do you claim a loss??? You will need to prove the cost basis of the stock and subtract the cost basis from the sale price to show either a gain or a loss. I am pretty sure it is all gain.

    Your UPS incentive shows as income and you pay taxes on it.... therefore you can establish a cost basis on each share.

    go to There is a letter there that shows calculation based on 10,000 shares; you will have $128 of ordinary income to declare ....
  6. satellitedriver

    satellitedriver Moderator Staff Member

    UPSLIFER nailed it. IMHO
  7. Anon1

    Anon1 Guest

    When we bought 4 shares of UPS stock, we were not "given" OPL, it was part of the cost. My cost for the first shares was $9.88 in Nov of '95. The highest I paid was $19.84 in May of '99. My overall cost per share is $12.12. In 2003, we were paid a capital distribution of $2.00. In 2004, $4.50. In 2005, $2.00. In 2006, $1.40 and in 2007 $0.545 for a total capital distribution of $10.445. Right now, I have a loss of $12.12 minus $10.445 or $1.675 per share. I wish I had taken a loss early on and made a recovery every year of my taxes for the capital distribution. I am going to declare the loss this year, and keep all the paperwork in case of an audit. I am not sure that this is the correct way to handle this but at this point it makes the most sense to me.
  8. badpal

    badpal Member

    Well UPSLIFER didnt they send you statements every year giving you the cost bases on every share opl lot that you bought?Totally seperate from the ups stock.
  9. brownmonster

    brownmonster Man of Great Wisdom

    I think I had 80 shares. I'm not gonna bother even including it in my taxes. By the way, it's write off.
  10. Brown and Out

    Brown and Out New Member

    I know it might be difficult for some to understand because they were given the shares of OPL, but yes indeed some of us purchased. As far as profit vs. loss, OPL was liquidated. That means the same as sold on the tax forms.
  11. ups79

    ups79 Active Member

    For me, my opl shares were only purchased with the earnings from the thrift plan. Those earnings after being used to purchase opl were put into an ira originally managed by first union. there was never a distribution to me only a distribution to the group I determined to be the custonian of my ira. I don't see how as a non management person that anyone would have capital gains or loss from opl. like other ira's, I would only be taxed on the distribution for this ira if I wished to take it. You are taxed on it when you begin receiveing it.
  12. sendagain

    sendagain Member

    I don't think you can write-off the share loss of OPL stock held in what used to be the Thrift Plan. The other gains in those IRA's will offset the losses. But I, like some others, made purchases of UPS and OPL from our own money, and those shares are now worthless, which ought to mean a deduction for loss on last year's taxes.
  13. ups79

    ups79 Active Member

    That is true. If you bought shares outright and it was not invested as an ira you would have a lost on these. However, what I am saying is that the shares bought originally through earnings of the thrift plan were never taxed to begin with. These behaved like any ira and would only be taxed when you began having them distributed as cash from your broker(at 591/2 of age if desired).
  14. UPS Lifer

    UPS Lifer Well-Known Member

    I do recall getting statements and I will go and dig them up. I appreciate your making me go look for them. I will recant what I said if I find out new information based on the statements!
  15. pkgdriver

    pkgdriver Member

    My cost for my 1st OPL share was 12.00 on 11/12/96

    Management was awarded OPL as a dividend in 1983. 1 OPL share for each UPS share held I think it was.
  16. UPS Lifer

    UPS Lifer Well-Known Member

    Yea! I go back to those days. It was a penny stock back then. It was included in your incentive.
  17. badpal

    badpal Member

    Yes if you were a supervisor back then and recieved it that way the tax situation would be totally different. you might have real big gain on it. Oh yes my memory fades but when they shut down the old thrift plan we had to put that money in a ira didnt we ? Now i think if ones opl was all in an ira account they dont have to worry because losses or gain not taxable events.So it seems from the posts that different folks got it different ways so everybodys tax deal will be a little different. Good luck to all in this i for one just glad its over and hope the way i trying to figure it works out and doesnt get me audited or something. In the end i didnt lose too much collected those great dividends it paid for a few years and the money recieved from the liquidations the last 5 about evened me up .
  18. ups79

    ups79 Active Member

    Badpal, thats what I have been saying since day one.
  19. Anon1

    Anon1 Guest

    When the thrift plan was ended, we received the money back that we had paid into the thrift plan (because those were after tax dollars) and were advised to roll over the earnings into an IRA. I bought UPS stock (and OPL stock) with both monies. I think we all agree that you cannot claim a loss on the OPL stock that was held in our IRAs. What I am planning on taking a loss on is the OPL stock I had to purchase outright outside of the IRA.
  20. ups79

    ups79 Active Member

    You are right.