NortonLifeLock paid a $12/share special dividend on January 31, 2020 and has determined that it will be treated as a dividend. Cash dividends distributed by a US corporation, should be treated as “qualified dividends” provided that the particular individual shareholder meets certain holding period and other requirements to qualify for the “qualified dividend” tax rate. Each shareholder should determine his or her own tax treatment with respect to whether her or she meets the holding period and other shareholder level requirements to qualify for the preferential “qualified dividend” tax rate.

Directly Registered Shareholders, who hold their shares directly on the books and records of the Transfer Agent, will receive the dividend payment in the form of checks, ACH or International Currency Exchange wires depending on how the individual accounts of such Shareholders were set up. The payments will be initiated within a few days following the ex-dividend date.

For beneficial share owners, who hold shares indirectly through a bank or a brokerage firm, the cash settlement of the special dividend will happen after the “due bill” process by DTC1,2 – the reconciliation of records of those shareholders who are entitled to receive the dividend – is complete. Depending on your brokerage firm and the reconciliation timeline by DTC, you will receive the cash payout in your accounts within a few business days2.

For details, you can contact DTC or your Broker.


  1. Depository Trust Company – a New York corporation known as a trust company which performs the functions of a Central Securities Depository as part of the US National Market System
  2. Stock Distribution events such as stock dividends, splits, and spinoffs are allocated on the ex-date +2 or the payable date, whichever comes later once DTC receives the securities. Source: DTC Service Guide