# SMSF: valuation of shares at 30/6



## yonnie (20 February 2008)

Hello folks,

If you are a share trader you can choose to value your shares at market price or historic price at the end of the financial year.

If you are not a trader you dont have to do anything until you sell.

Is there a MUST DO from ATO when it comes to valuing shares at year end in a SMSF?

Thanks


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## Julia (20 February 2008)

Duckman or Reece will be better able to answer this than I can, yonnie, but I think there is a very specific formula on this set down by the ATO.
My accountant explained it to me last year but it was honestly so complicated that I didn't take it all in.  

I'd suggest with the questions you inevitably must have re considering setting up a SMSF perhaps if you ask two or three accountants for a brief meeting, say 15 minutes, at which stage you could form an impression of whether or not you feel comfortable with them, and ask some basic questions, get their costs for set up and annual tax return and audit, and then go from there.  I found no problem in having three local accountants provide a short interview at no cost.


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## Duckman#72 (21 February 2008)

yonnie said:


> Hello folks,
> 
> If you are a share trader you can choose to value your shares at market price or historic price at the end of the financial year.
> 
> ...




Hi yonnie

A SMSF is unable to run a business - the exception to this is the grey area of "share trading". However the majority of people would not be classified in this category. You are correct in that there are different formulas used in the valuation process depending on your classification.

The ATO requires that shares and all assets held be valued at market value on 30 June each year. Your fund gets revalued each year. 

Duckman


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