CGT - calculation of average costs for different type of shares

pastaUK

Hello everyone, I hope you can help with some of the questions I have some questions re calculation of costs of different type of shares….

I have some ESPP shares which were bought at different times and the last batch was bought 3 years ago. Also some RSUs which I received in several times, all vested a few years ago.. now would like to sell them.

Questions…
1. when I calculate the average cost of share, do I add the costs of ESPP Shares+RSU as my average costs? so whichever type of share I sell I use the same price?
2. Or it should be a separate calculation? So ESPP average costs, and RSU average costs?
3. Are all those shares count as Section 104 holding?I thought so but not sure!
4. If i sell the shares in different tax year, do I always use the same average cost for the remaining of the shares to calculate gain/lost?

many thanks!

[Deleted User]

Hi,

similar thread HERE, might help.

sausage_time

If the shares are all the same class you can use a single pool.  Each time you buy ESPP or RSUs vest you use the market (not the purchase) price to adjust the pool prices.  When you sell, the gain/loss is with respect to the current pool price.

GeoffTF

I cannot find companies whose shares have tickers of ESPP or RSU. You need to tell us when you bought the shares, because the rules have changed over time. Shares in different companies have different share pools, where pooling is applicable.

[Deleted User]

Hi,

GeoffTF said:

I cannot find companies whose shares have tickers of ESPP or RSU. You need to tell us when you bought the shares, because the rules have changed over time. Shares in different companies have different share pools, where pooling is applicable.

I had to google,

seems ESPP is an Employee Share Purchase Plan,

and RSUs are Restricted Stock Units.

pastaUK

sausage_time said:

If the shares are all the same class you can use a single pool.  Each time you buy ESPP or RSUs vest you use the market (not the purchase) price to adjust the pool prices.  When you sell, the gain/loss is with respect to the current pool price.

Thank you. Can't see from the statement so I think I'll just call the brokerage company to see if they know whether the ESPP and RSU are all the same class... The RSU were vested a few years ago so I would thiink yes.... Also thanks for pointing to use FMV to calculate cost!

GeoffTF: All from only 1 company. I haven't sold any since I have them,  I think they are Sectionn 104 holding (Not same day/ 30 day rule)..

sausage_time

pastaUK said:

sausage_time said:

If the shares are all the same class you can use a single pool.  Each time you buy ESPP or RSUs vest you use the market (not the purchase) price to adjust the pool prices.  When you sell, the gain/loss is with respect to the current pool price.

Thank you. Can't see from the statement so I think I'll just call the brokerage company to see if they know whether the ESPP and RSU are all the same class... The RSU were vested a few years ago so I would thiink yes.... Also thanks for pointing to use FMV to calculate cost!

GeoffTF: All from only 1 company. I haven't sold any since I have them,  I think they are Sectionn 104 holding (Not same day/ 30 day rule)..

Are they all lumped together in the same pot in the broker?  If so they are likely the same class.
I assume (perhaps incorrectly) they are US listed shares?  US brokers have no concept of Section 104 holding so you need to do your own spreadsheet.  Remember the CGT clock is ticking, so a good time to get a handle on any gains before April.

pastaUK

sausage_time said:

Are they all lumped together in the same pot in the broker?  If so they are likely the same class.
I assume (perhaps incorrectly) they are US listed shares?  US brokers have no concept of Section 104 holding so you need to do your own spreadsheet.  Remember the CGT clock is ticking, so a good time to get a handle on any gains before April.

 Good spot.....! I got 1 statement each for ESSP and RSU, then since last year I found that they lumped them together in 1 statement (I only found out last month but didn't understand - since i don't really look at them).Yes I'll do my own spreadsheet hence soo many questions!