Pooled Share Price - CGT

Mjmollo

I understand the process which has to be used to calculate a pooled share price when acquiring shares in the same company at different points in time.

I was hoping to check a point regarding any changes to a pooled share price when you dispose of shares and then subsequently acquire shares in the same company at a later date.

Example

1 Jan: Acquire 50 shares at £10 per share
1 Apr: Acquire 50 shares at £12.50 per share
1 Jul: Acquire 50 shares at £15 per share
1 Oct: Acquire 50 shares at £15 per share

Pooled Share Price: £2,625 / 200 = £13.13

Sell 50 shares on 1 Nov at £15 per share = no CGT liability.

1 Jan: Acquire 50 shares at £20 per share

When calculating the pooled share price, is it simply a case of taking the £2,625 and adding £1,000 as below or is there an adjustment to take account of the 50 shares which were sold on 1 November?

£3,125 / 250 = £14.50

eskbanker

On 31 December you have 150 shares with a pooled acquisition cost of £13.13 (the November disposal hasn't changed that price), so if you add 50 @ £20 the next day then the new unit cost is ((150*£13.13)+(50*£20))/200 = £14.85.

Mjmollo

Many thanks for your speedy response, it’s much appreciated.