Quick tax question

[Gordon]

Hi guys - what documentaion do i need to take to the person doing my tax?

All i have do is sell some shares for a profit and sell some other shares for a loss. Do i need to just let them know how much etc or do i need some proof - i think all the proof i have is electronic.

Thanks for any help.

 

[Julia]

Hi guys - what documentaion do i need to take to the person doing my tax?

All i have do is sell some shares for a profit and sell some other shares for a loss. Do i need to just let them know how much etc or do i need some proof - i think all the proof i have is electronic.

Thanks for any help.

You should have the contract notes for each trade. If you haven't printed these at the time you can download them from your online broker. Best thing would be to ask the person doing your tax exactly what they require you to bring.

 

[So_Cynical]

I also have a few tax questions and since the OP has been answered..


CFD's...are all costs including interest tax deductible.
and are all profits/losses CGT able.

THanks.

 

[Flying Fish]

wat is cfd

 

[Whiskers]

wat is cfd

Hi Flying Fish

Contracts For Difference

I don't use them myself. I'm not that sophisticated yet, but any of the share trading sites should have some detail. eg https://invest.etrade.com.au/InvestmentProducts/CFDs/Default.aspx?dynpnl=01

 

[tibby]

Under this title of quick tax question I thought Id ask another question that Im hoping someone can answer.... on a joint brokerage acct, can one person claim the entire capital gain/loss and leave the other owner of the acct not liable for reporting any loss/gain?? I know with joint term deposits and savings acct interest...the gain is halved for 2 owners, but does this have to occur with shares??

 

[Whiskers]

Hi tibby

on a joint brokerage acct, can one person claim the entire capital gain/loss and leave the other owner of the acct not liable for reporting any loss/gain??

As a general rule the tax office says; It is the individual partners who make a capital gain or capital loss from a CGT event, not the partnership itself. For CGT purposes, each partner owns a proportionate share of each CGT asset.
http://www.ato.gov.au/nonprofit/content.asp?doc=/content/43486.htm&page=6

You have a tricky mix with CGT and partnerships. I guess it depends what you mean by 'joint', whether it is strictly a partnership or a shared account. In other words are all shares bought in joint names or do two or more people use the same account but buy in individual names. In the former I reckon you would have to split, in the later you would proportion.

What I would do is talk to your accountant first because with CGT there are different treatments, depending on how long ago they were purchased as well as whatever your particular 'joint' arrangements are in terms of the tax law.

I'm afraid it is not a simple answer. But, particularly if it involves a lot of money, I would get professional advice first to see if there is anything you can change to improve your particular set-up.

 

[tibby]

Hi tibby




As a general rule the tax office says; It is the individual partners who make a capital gain or capital loss from a CGT event, not the partnership itself. For CGT purposes, each partner owns a proportionate share of each CGT asset.
http://www.ato.gov.au/nonprofit/content.asp?doc=/content/43486.htm&page=6

You have a tricky mix with CGT and partnerships. I guess it depends what you mean by 'joint', whether it is strictly a partnership or a shared account. In other words are all shares bought in joint names or do two or more people use the same account but buy in individual names. In the former I reckon you would have to split, in the later you would proportion.

What I would do is talk to your accountant first because with CGT there are different treatments, depending on how long ago they were purchased as well as whatever your particular 'joint' arrangements are in terms of the tax law.

I'm afraid it is not a simple answer. But, particularly if it involves a lot of money, I would get professional advice first to see if there is anything you can change to improve your particular set-up.

Hi Whiskers...thanks very much for the reply...its a joint acct...shares brought in joint names (my wife and I) ...Im under the impression its a split. Thanks very much for your input.