PTC - Shares

Fiorellino Registered Posts: 82 Regular contributor ⭐
Just working through some shares exercises from the book and honestly I can't get any calculations about shares right.

I know the matching rules, but doesn't matter how hard I try to apply them it seems like it doesn't work for me.

Does anyone have the same problem? Or any advice on that?



  • paulafield
    paulafield Registered Posts: 3 New contributor 🐸
    i have a similar problem. i can never remember when to taper always want to taper too soon
  • becs129
    becs129 Registered Posts: 17 New contributor 🐸
    In most cases it will be a case of going straight to the pool.

    You stop indexing at April 1998 for individuals. Then use the following formula:

    Proceeds: x x x x
    less cost: x x x
    less indexed cost: x x x x
    = gain

    It's then on this gain figure that you work out taper relief.

    Work out how many years the shares were held after 1998, that will determine what percentage of the gain is chargeable.

    Does that help or am I stating the obvious?!
  • Moseley_21
    Moseley_21 Registered Posts: 59 Regular contributor ⭐
    I've got to remember though that these 1998 pool shares are to be done last!

    1-post shares
    2 - present shares
    3- pre-dated shares newest are sold first
    4 - 1998 pool!!
  • umerali2003
    umerali2003 Registered Posts: 400 Dedicated contributor 🦉
    lets make it more simple

    1 shares acquired on the same day
    2 shares acquired in the following 30 days ( FIFO)
    3 shares acquired between 6 april 1998 - disposals on (lifo basis)
    4 then FA 1985 Pool

    Purchases after 5 april 98
    most easiest to do because there will be no indexation after april 98
    so the caluculation wil be simple
    sale proceed
    Less cost
    Fa 1985 pool
    apply the indexation up to 5 th april 98 and then taper relief after that depending upon how many years the share have been kept

    Bonus Issue And Rights Issue
    Relate them to the periods they belongs to
  • mehmet
    mehmet Registered Posts: 113 Dedicated contributor 🦉
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