Calculating CGT on shares

L

LBT

Registered User
Messages
108
just wondering can some of you financial whizzes can help me!

my dad bought 680 share in 1992 at £1.61 (€2.05) he got another 240 of them in 1994 at £2.21 (€2.81) he received another 83 instead of dividends. He has a total of 1003. The current market value of these is €25.75 a share. What would be the total CGT he has to pay on this?

thanks
 
I believe that the following apply

Theere are three classes of shares
1) 680 from 1992

Sale value = 680 @ 25.75 = 17,510
Cost = 680 @ 2.05 = 1,394 indexed up by 1.406 if acquired before or on 5th April 1992 or by 1.356 if acquired after 5th April 1992
Lets assume after. So total cost = 1,394 * 1.356 = 1890
Gain =17,510-1,890 = 15,620

2) 240 acquired in 1994

Sale value = 240 @ 25.75 = 6,180
Cost = 240 @ 2.81 = 674 x indexation faqtor 1.331 or 1.309 depending on exact date. Assume 1.309 so cost = 674 * 1.309 = 882
Gain = 6,180 -882 = 5,298

3) 83 received in lieu of dividend

Sale value = 83 @ 25.75 = 2,137
Cost = 83 valued at date of dividend, indexed up if applicable
Gain =

Total gain - 1270 annual allowance, assuming not already used, = taxable gain @ 20%
 
JPD - I've made a gain of €1,400 on a share I bought this year which I'm very satisfied with. Can you tell me if the annual exemption of €1,270 (from Rev site) can be rolled over into next year, i.e. 1,270 x 2 next year and so on? Thanks
 
sherib said:
JPD - I've made a gain of €1,400 on a share I bought this year which I'm very satisfied with. Can you tell me if the annual exemption of €1,270 (from Rev site) can be rolled over into next year, i.e. 1,270 x 2 next year and so on? Thanks
Click to expand...

Allowance cannot be rolled over or accumulated.
 
He has a total of 1003. The current market value of these is €25.75 a share. What would be the total CGT he has to pay on this?
Click to expand...

I take it that he has actually sold all the shares

The best way to sell the shares would be over a number of years to take advantage of the allowance

You can also include the cost of purchasing shares incl stamp duty and index link as appropriate.
 
Thanks BT. I'll have to see how much more the share would need to increase by to compensate for not availing of the exemption this year. I only invested €2,000 on a FTSE share. I think I saw on the Rev site that stamp duty on the share can also be deducted?

PS Just saw Asdfg's post. Does the cost of purchasing the share mean the Broker's charge? If so that would be great!
 
Last edited:
he can't sell them over a few years, its a compulsory buyout of all shareholders

thanks for all your help.
 
Posted this already but it seems to have got lost.

I meant the commission charged by the Broker, in this case Campbell, O'Connor - about €30 for share investment of €2,000. Not aware of an annual charge as well - hope not!
 
You must log in or register to reply here.
Back
Top