Members of the Maryland Association of Certified Public Accountants are answering readers' tax questions through April 15. See below for how to submit a question.

I bought Marriott stock some years ago, and since then it has split and then spun off a bunch of new companies. I would like to sell the Marriott stock, but have no idea how to figure out what its basis is after all these spinoffs. What do I do?

First, the basis of the original purchase cost of the Marriott stock is split in half for each share due to the 2-for-1 split. The next step is to recompute the basis for each spinoff. The basis is allocated among the share of Marriott stock and the spun off company stock based on relative fair market value at the date of the spinoff. Typically, the company provides a work sheet and information to assist in this calculation. If you do not have this information in your files, I suggest you contact Marriott shareholder relations or your broker.

F. Carter Heim CPA, Heim & Associates

The above advice is for general purposes only and is not intended as legal, accounting or tax advice. Specific situations may vary.

To ask a tax question, call Sundial, The Sun's telephone information service, at 410-783-1800. Call 410-268-7736 in Anne Arundel County, 410-836-5028 in Harford County, 410-848-0338 in Carroll County. Using a Touch-Tone phone, punch in the four-digit code 6225 after the greeting. To submit questions by e-mail and access an online tax guide, go to The Sun's Web site at www.sunspot.net/tax.

Selected questions will be answered in the Business section. No questions will be answered personally.

Pub Date: 3/09/99