My client owned Genzyme a few years back and sold it at a gain. A class action suit was filed against Genzyme abd was concluded in 2008. A $8,000 check was sent to my client on Dec 30 and was received on Jan 2, 2009. My understanding is these things are taxed as long trem capital gains. As my client did not constructivley receive the money till 2009 I feel he can report it in 2009 rather than 2008. As far as I know there is no reporting of the $8,000 to IRS so there should be no matching problem. If this were a true stcok sale it would have to be reported in 2008 but I see this situation as being different from a sale. I am looking for others views on this.
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