Return of Capital

If a T. Rowe Price fund pays out more in distributions than it earned during the year, you do not owe tax on your share of the excess amount, which is called a "nontaxable distribution" or "return of capital." We report this type of distribution in Box 3 of Form 1099-DIV. You will need to subtract any amounts reported in Box 3 of Form 1099-DIV from the cost basis of your shares. For information on IRS Form 8937 and organizational actions affecting the basis of securities, including items such as mergers, fund liquidations, and reclassifications that affect cost basis, commonly referred to as "corporate actions," please visit our website at Corporate Actions.

Listed below are the 2016 dividends paid by the T. Rowe Price funds that have a return of capital for Form 1099-DIV purposes.

2016 Return of Capital
T. Rowe Price Fund 2016 Payment Date Per Share Amount Tax Character
Before After
Emerging Markets Local Currency Bond 01/29/2016 $0.025234087 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 02/29/2016 $0.027407372 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 03/31/2016 $0.028825523 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 04/29/2016 $0.029126707 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 05/31/2016 $0.027065719 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 06/30/2016 $0.028692193 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 07/29/2016 $0.030618884 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 08/31/2016 $0.030910409 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 09/30/2016 $0.032903096 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 10/31/2016 $0.029641067 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 11/30/2016 $0.029219029 Income Dividend Return of Capital
Emerging Markets Local Currency Bond 12/30/2016 $0.032906110 Income Dividend Return of Capital
Emerging Markets Bond 01/29/2016 $0.006440907 Income Dividend Return of Capital
Emerging Markets Bond 02/29/2016 $0.007136589 Income Dividend Return of Capital
Emerging Markets Bond 03/31/2016 $0.007290548 Income Dividend Return of Capital
Emerging Markets Bond 04/29/2016 $0.007697557 Income Dividend Return of Capital
Emerging Markets Bond 05/31/2016 $0.007477840 Income Dividend Return of Capital
Emerging Markets Bond 06/30/2016 $0.007867585 Income Dividend Return of Capital
Emerging Markets Bond 07/29/2016 $0.007940114 Income Dividend Return of Capital
Emerging Markets Bond 08/31/2016 $0.007959871 Income Dividend Return of Capital
Emerging Markets Bond 09/30/2016 $0.008402886 Income Dividend Return of Capital
Emerging Markets Bond 10/31/2016 $0.007934407 Income Dividend Return of Capital
Emerging Markets Bond 11/30/2016 $0.007832595 Income Dividend Return of Capital
Global Multi-Sector Bond 01/29/2016 $0.027711944 Income Dividend Return of Capital
Global Multi-Sector Bond 02/29/2016 $0.032101309 Income Dividend Return of Capital
Global Multi-Sector Bond 03/31/2016 $0.031606740 Income Dividend Return of Capital
Global Multi-Sector Bond 04/29/2016 $0.032771039 Income Dividend Return of Capital
Global Real Estate 03/30/2016 $0.009873890 Income Dividend Return of Capital
Global Real Estate 06/29/2016 $0.012836057 Income Dividend Return of Capital
Global Real Estate 09/29/2016 $0.008886501 Income Dividend Return of Capital
Global Real Estate 12/19/2016 $0.002212540 Income Dividend Return of Capital
International Bond 01/29/2016 $0.009252088 Income Dividend Return of Capital
International Bond 02/29/2016 $0.010430777 Income Dividend Return of Capital
International Bond 03/31/2016 $0.008848507 Income Dividend Return of Capital
International Bond 04/29/2016 $0.010889210 Income Dividend Return of Capital
International Bond 05/31/2016 $0.011780887 Income Dividend Return of Capital
International Bond 06/30/2016 $0.013508927 Income Dividend Return of Capital
International Bond 07/29/2016 $0.015297810 Income Dividend Return of Capital
International Bond 08/31/2016 $0.015419478 Income Dividend Return of Capital
International Bond 09/30/2016 $0.013054363 Income Dividend Return of Capital
International Bond 10/31/2016 $0.009568126 Income Dividend Return of Capital
International Bond 11/30/2016 $0.000636841 Income Dividend Return of Capital
International Bond 12/30/2016 $0.002614024 Income Dividend Return of Capital
Short-Term Bond 02/29/2016 $0.002162945 Income Dividend Return of Capital
Short-Term Bond 03/31/2016 $0.003039157 Income Dividend Return of Capital
Short-Term Bond 04/29/2016 $0.003152249 Income Dividend Return of Capital

 

Reclassifications

A reclassification means that the tax character of the dividend on your Form 1099-DIV is different than the tax character reported on your statement, which reported the dividend to you. Tax character indicates whether the dividend is from taxable or tax-exempt income or is a short-term or long-term gain.

Listed below are the 2016 dividends paid by the T. Rowe Price funds that have been reclassified for Form 1099-DIV purposes.

2016 Reclassifications
T. Rowe Price Fund 2016 Payment Date Per Share Amount Tax Character
Before After
Global Real Estate 12/19/2016 $0.177592000 Income Dividend Long-Term
Capital Gain
International Bond 10/31/2016 $0.002454884 Income Dividend Long-Term
Capital Gain
International Bond 11/30/2016 $0.013390383 Income Dividend Long-Term
Capital Gain
International Bond 12/30/2016 $0.013265350 Income Dividend Long-Term
Capital Gain
Real Estate 12/14/2016 $0.083243570 Income Dividend Long-Term
Capital Gain
Small-Cap Value 12/15/2016 $1.314264516 Income Dividend Long-Term
Capital Gain
Spectrum Income 12/30/2016 $0.033718028 Income Dividend Long-Term
Capital Gain