Our club, Mt. Ararat, typically pays a withdrawing member with stock as discussed on this list a number of times. We did that again last June. The former member has asked a question about her cost basis that I cannot answer with any specificity. Can any of you shed more light on the difference between the "Club's Cost Basis" and the "Member's Adjusted Cost Basis" on the withdrawal report? (Her adjusted cost basis is less than the club's.) How might a withdrawn member utilize the adjusted cost basis? Our club's broker reported the club's cost basis to the withdrawn member's broker, and the member-broker refuses to accept anything but the club-broker's transferred cost information.  When our former member sells the stock, does she use the club's cost basis or the adjusted cost basis? Is it up to her accountant to make an adjustment?

Thanks in advance for any knowledge you can share.

Pat Essex