Return of Capital

rmartel
rmartel Quicken Windows Subscription Member ✭✭
in Investing (Windows)
In recording a return of capital, what category is used? I couldn't find a category, do I simply add a category in the investment group?

Comments

  • Sherlock
    Sherlock Quicken Windows Subscription Member ✭✭✭✭
    edited February 2019
    Return of capital should be entered using a RtrnCap or RtrnCapX action investment transaction:  press Ctrl + N and select Return of Capital in the Enter transaction: pull-down menu.
  • Tom Young
    Tom Young Quicken Windows Subscription SuperUser ✭✭✭✭✭
    A return of capital is not credited to any "Category".  Instead, it's a reduction in the basis of the security that returned the capital.  From an accounting standpoint its recorded as:

    Debit (increase) cash  $XXX
    Credit (decrease) basis of security [name]  $XXX
  • rmartel
    rmartel Quicken Windows Subscription Member ✭✭
    Tom, thank you for your prompt reply. Best answer I've gotten. I should have figured it out.
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