Distributions
No distributions were made in 2019 by Teekay Tankers Ltd (“TNK or the Company”) and therefore no United States Internal Revenue Service (“IRS”) Form 1099 will be distributed to U.S unitholders.
Reverse Stock Split
On November 25, 2019, TNK effected a one-for-eight reverse stock split of the Company’s Class A common shares, par value $0.01 per share, and Class B common shares, par value $0.01 per share (the Reverse Stock Split). Pursuant to the Reverse Stock Split, every eight shares of the Company’s issued and outstanding Class A common shares were combined into one Class A common share and every eight shares of the Company’s issued and outstanding Class B common shares were combined into one Class B common share, in each case, without any change to the par value per share. No fractional shares were issued as a result of the Reverse Stock Split. Instead, each shareholder was entitled to receive a cash payment amount equal to the number of common shares held by the shareholder that would otherwise have been exchanged for the fractional share interest multiplied by the closing price of the Company’s Class A common shares on the NYSE on November 22, 2019.
Generally, the Company shareholders should not recognize any gain or loss for U.S. Federal income tax purposes other than with respect to cash received for fractional shares, a shareholder’s aggregate tax basis in its post-reverse stock split shares, including any fractional share treated as received and then exchanged for cash, would be the same as the shareholder’s aggregate tax basis of its pre-reverse stock split shares, and a shareholder’s holding period for its post-reverse stock split shares should include its holding period for its pre-reverse stock split shares. Based on Nov 22, 2019 closing pre-reverse split price of $2.49/share, the maximum cash distribution for fractional shares was $17.43 which is less than the $20 de minims reporting threshold for Form 1099. As such, no United States Internal Revenue Service (“IRS”) Form 1099 will be distributed to U.S unitholders with respect to this reverse stock split transaction.
Disclaimer
Related comments are intended as general information only and do not constitute tax advice. This information was not written or intended to be used, and it cannot be used, by any person as a basis for avoiding federal tax penalties that may be imposed on that person. Shareholders should consult their own tax advisors with respect to the specific tax consequences to them.
Teekay Tankers Ltd. makes no warranty either expressed or implied regarding any tax issues of its shareholders.
IRC §6045B Reporting
- 2019
- 2018
- 2017
- 2016
- 2015
- 2014
- 2013
- 2012
- 2011
Teekay Tankers Ltd. (Teekay Tankers) (NYSE:TNK), was not required to file Form 8937 pursuant to Internal Revenue Code Section 6045B as there was no distributions made in 2019.
Teekay Tankers Ltd (NYSE: TNK), declared cash distributions to the common unitholders of record for the quarter ended December 31, 2017.
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| February 21, 2018 | March 5, 2018 | $0.03 | March 9, 2018 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all shareholders of record the character of this distribution based upon Teekay Tanker’s earnings and profits as of the date of distribution.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers’ distributions in their tax return.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE:TNK), was not required to file Form 8937 pursuant to Internal Revenue Code Section 6045B as there was no return of capital in respect of the 2015 distributions.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE: TNK), declared cash distributions to shareholders of record for the quarters ended December 31, 2016, March 31, 2017, June 30, 2017 and September 30, 2017 as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| February 22, 2016 | March 6, 2017 | $0.03 | March 10, 2017 |
| May 17, 2017 | May 29, 2017 | $0.03 | June 2, 2017 |
| August 3, 2017 | August 14, 2017 | $0.03 | August 18, 2017 |
| November 8, 2017 | November 20, 2017 | $0.03 | November 24, 2017 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all shareholders of record the character of this distribution based upon Teekay Tanker’s earnings and profits as of the date of distribution.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers’ distributions in their tax return.
Information for former shareholders of Tanker Investments Ltd (TIL)
For more information regarding the merger of TIL with Royal 2017 Ltd, a wholly owned subsidiary of Teekay Tankers Ltd (TNK) during 2017, including required tax reporting to shareholders by the company, please refer to [attached Form 8937].
Teekay Tankers Ltd. (Teekay Tankers) (NYSE: TNK), declared cash distributions to shareholders of record for the quarters ended December 31, 2015, March 31, 2016, June 30, 2016 and September 30, 2016 as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| December 14, 2015 | February 2, 2016 | $0.12 | February 12, 2016 |
| May 18, 2016 | May 30, 2016 | $0.09 | June 3, 2016 |
| August 3, 2016 | August 15, 2016 | $0.06 | August 19, 2016 |
| November 3, 2016 | November 14, 2016 | $0.03 | November 18, 2016 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all shareholders of record the character of this distribution based upon Teekay Tanker’s earnings and profits as of the date of distribution.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers distribution in their tax return.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE:TNK), was not required to file Form 8937 pursuant to Internal Revenue Code Section 6045B as there was no return of capital in respect of the 2015 distributions.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE: TNK), declared cash distributions to shareholders of record for the quarters ended December 31, 2013, March 31, 2014, June 30, 2014 and September 30, 2014 as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| January 3, 2014 | January 17, 2014 | $0.03 | January 31, 2014 |
| April 4, 2014 | April 17, 2014 | $0.03 | April 30, 2014 |
| July 3, 2014 | July 18, 2014 | $0.03 | July 31, 2014 |
| October 3, 2014 | October 17, 2014 | $0.03 | October 31, 2014 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all shareholders of record the character of this distribution based upon Teekay Tanker’s earnings and profits as of the date of distribution.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers distribution in their tax return.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE: TNK), declared cash distributions to shareholders of record for the quarters ended December 31, 2012, March 31, 2013, June 30, 2013 and September 30, 2013 as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| February 20, 2013 | March 4, 2013 | $0.03 | March 11, 2013 |
| May 8, 2013 | May 20, 2013 | $0.03 | May 28, 2013 |
| July 8, 2013 | July 19, 2013 | $0.03 | July 31, 2013 |
| October 4, 2013 | October 16, 2013 | $0.03 | October 25, 2013 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all shareholders of record the character of this distribution based upon Teekay Tanker’s earnings and profits as of the date of distribution.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers distribution in their tax return.
Teekay Tankers Ltd. (Teekay Tankers) (NYSE: TNK), declared cash distributions to unitholders of record for the quarters ended December 31, 2011, March 31, 2012, June 30, 2012 and September 30, 2012 as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| February 7, 2012 | February 21, 2012 | $0.11 | February 28, 2012 |
| May 16, 2012 | May 29, 2012 | $0.16 | June 5, 2012 |
| August 8, 2012 | August 20, 2012 | $0.11 | August 27, 2012 |
| November 7, 2012 | November 19, 2012 | $0.02 | November 26, 2012 |
Pursuant to Internal Revenue Code Section 6045B, the attached Form 8937 summarizes to all unitholders of record the estimated character of this distribution based upon Teekay Tanker’s estimated earnings and profits as of the date of distribution. The numbers posted are an estimate of the effect of the distributions and will be updated once the final numbers are determined. The numbers posted should not be used for preparing individual shareholders income tax returns.
We encourage holders of record to consult their Tax Advisor for proper treatment of any Teekay Tankers distribution in their tax return.
Attachment: Form 8937 – 2011 Revised
Teekay Tankers Ltd. (“Teekay Tankers”) (NYSE: TNK) declared cash distributions for the quarters ended December 31, 2010, March 31, 2011, June 30, 2011 and September 30, 2011 to shareholders of record as follows:
| Date Declared: | Date of Record: | Amount per Share: | Date Paid: |
| February 23, 2011 | March 8, 2011 | $0.22 | March 15, 2011 |
| May 11, 2011 | May 20, 2011 | $0.25 | May 27, 2011 |
| August 10, 2011 | August 19, 2011 | $0.21 | August 26, 2011 |
| November 9, 2011 | November 21, 2011 | $0.15 | November 28, 2011 |
Pursuant to Internal Revenue Code Section 6045B, the attached revised Form 8937 summarizes to all shareholders of record the character of the distribution based upon Teekay Tankers’ earnings and profits for the year ended December 31, 2011.
We encourage shareholders of record to consult their tax advisor for proper treatment of any Teekay Tankers distribution in their tax return.