Hello folks

Tax time is here and I am collecting relevant info for the tax preparation. Just wondering if there are some words of wisdom out there that I could collect. The info will NOT be considered as legal opinion, or tax advice. It would be strictly for info only. Here's the situation:

- KWG shares: Nothing sold during 2011.

- DDI distribution: Not sold yet, so the entire amount is still sitting in the trading account. Received a statement from the stock brokerage for an amount which is listed as

"Principal payment/or return of capital". I presume that the latter applies. There was a blue notice sent out by Smeenk saying that:

(a) this is no taxable dividend. This is clear; but

(b) The next paragraph talks about ACB and the fair market value of DDI ($0.30 presumably at the time of distribution), etc. Can this be explained in plainer language through a simple example, especially the stuff about "realized capital gain". Too complicated!

Is there any hints out there from knowledgeable posters and especially those who have done the tax for 2011? I am a slow one and usually would wait until the first week of April to get going. I will do further research on this topic myself, but would appreciate your pointers, just in case I am off-tracked, or head in the wrong direction.

Thanks in advance.

goldhunter