IRS Form 8937
How do holders of our common stock treat distributions for tax purposes?
Distributions paid on shares of common stock will be taxable to you as dividend income to the extent those distributions are paid out of our current or accumulated earnings and profits. If you are an individual, such dividend income will be subject to tax at long-term capital gains rates provided you meet certain holding period and other requirements. Distributions on our shares of common stock not paid out of our current or accumulated earnings and profits will be treated as a return of capital to the extent of your basis in your shares of common stock and any such payments in excess of your basis will be taxed as capital gain.
There is a link below to a completed Form 8937 for each of 2019, 2017, 2016, 2015, 2014, 2013, 2012 and 2011. These forms contain tax treatment information for 2019, 2017, 2016, 2015, 2014, 2013, 2012 and 2011 common stock distributions that we are required to provide pursuant to U.S. Treasury Regulations and IRS guidance. We were not required to provide a Form 8937 for 2018 because we determined that no portion of our 2018 common stock distributions would be treated as a return of capital.
B&G Foods has also prepared a more detailed summary of the tax treatment information for the 2019, 2018, 2017, 2016, 2015, 2014, 2013, 2012 and 2011 common stock distributions. There is a link below to each summary.
It is possible that a portion of the dividends paid by B&G Foods during 2020 could also represent a return of capital distribution to recipients for U.S. federal income tax purposes. However, the determination of the actual characterization of distributions made during 2020 cannot be determined until after the close of the year.
As treatments may vary due to individual status and other considerations, B&G Foods urges you to consult your own tax advisor for your individual treatment. B&G Foods does not provide tax advice.