Tax Return Help with Shares Question...anyone?

[babytoo]

Ok so I have done my whole tax return by myself except for my stupid shares! lol

Anyway, I dont want to pay anyone as I have all but done the return but does anyone out there know how I do this.....

My work offered us shares...we buy x amount and they give us x amount for free. We were to pay them off so they werent really ours until the debt was paid. I left the company to have bubs and sold back some of the shares to pay my debt. I have no idea how what or where I need to reflect this in my tax return....we had 2 dividends of a tiny $20 something dollars and I have a total of 470 shares...

ANy help would be greatly appreciated.....Thanks

[Harry&Max's Mummy]

We had the same prob with my DH shares he purchased thru an employee scheme we tried througth etax but decided to pay an accountant as too complicated

[sam's mum]

the short answer is that you don't have to do anything at the moment with the shares that you still own. There are two sources of income for the year - the dividends on the shares and the profit on the sale of the shares.

Dividends - you should have received statements for each dividend showing how much the dividend was and any imputation credit (prepaid tax) is attached to each dividend. Use this information to complete the income from shares section of etax.

Sale of shares - Your profit from the sale of the shares is not subject to income tax, but may be subject to capital gains tax. You need to look at how much the shares were worth when you received them. What would they have sold for on the open market that day. Then how much you sold them for. The difference between these two figures is your total capital gain or loss. This amount can be further reduced if certain conditions are met, one of which is if you received them under an employee scheme (which you did). There is a cgt calculator that goes with etax that you download separately. Do this and work through the questions to have it calculate your capital gain/loss for you. If you are still having trouble you may need to contact the ATO and seek professional help (taxation help that is).

[xkwzit]

I think that you also need to declare the shares that you received free as income at some point. Are they still retained in the scheme, or can you sell the additional shares straight away?

If they are retained, you need to choose whether you declare them as income when they come out, or declare them as income now and then only have to pay the CGT when you sell them.

If they are not retained in the scheme (ie you can sell tham straight away), you should declare them as income in the year you received them.

I'm mentioning this now, because if this is a low earning year for you (because of mat leave), it might be to your advantage to declare the income of the additional shares NOW, rather than later when you may be back earning a full wage.

Can your company assist you with advice?

Best of luck

[Shelly68]

If you are doing E-Tax you need to enter these details under Q11 of Income, follow the step by step instructions on there, they should help you

[sam's mum]

Q11 is for the dividends. Q17 is for any capital gain.