Reporting CGT to HMRC requires when first bought the shares, but can't find it

AustinZ

This is a bit my fault as I bought some shares some 15+ years ago with a broker that subsequently taken over by another. I thought they pass on al the trade info, but they didn't. They send the value cost and number of shares, but not the date of when shares were bought…!

Now I used to keep all my old trading in a separate Excel file, however, this is now not accessible, password forgotten and I tried hard to break into it - no luck. I know I messed up…

Now I never reported CGT to HMRC on my self assessment, because I never had to - max trading below £50k and no CGT or max CGT within allowance. But this year I have to report, not due to CGT but going over £50k.

So some of these shares also merged and taken over by other companies so very hard to get any idea of what the prices were and when… ! I have the cost and number of shares, but due to splits and share issues, it is all very complicated.

My question is when I report to HMRC I know I have to say how many shares and when I purchased and at what price, but for a scenarios like this how do they even check. I thought the most important data would be total purchase cost vs total sale value - do they bother with other stuff if entered in estimate… !?

masonic

As you say, the date of acquisition doesn't impact the tax owed, so if that's the only information you have to estimate then you'll be paying the right amount of tax. You'll just have to give it your best estimate. I don't think I'd class this as using "estimated figures", but it might be worth adding an explanation about the acquisition date in the notes section.

Woodstok2000

https://forums.moneysavingexpert.com/discussion/6661170/reporting-cgt-to-hmrc-requires-when-first-bought-the-shares-but-can-039-t-find-it

Do you have accurate totals for how much you spent on each purchase and how many shares you bought? That would allow you to work out the price, which is the important bit, if you have that, the date doesn't really matter as long as youre approximately right.

Vitor

HMRC will accept estimates, but only where they are evidence-based and transparently derived, not arbitrary.

DRS1

I suspect the date of acquisition requirement dates back to the days when there was an indexation allowance so you could use the right RPI figures.

AustinZ

Thanks for the replies, I have the accurate amount of "Cost" for the whole shares purchased. The number of shares are also available, but it relates to the latest/current number after various splits, mergers and fund raising etc.

What I thought the problem would be is if they want to check that the amount of "Cost", that is the price of shares multiple by the number of shares equals cost for the certain date of purchase…

But I guess HMRC are too busy to go and check every share purchase and sale of every trader, they might do that if an audit is required. And as it happens I now have total losses… ! (I just declare the losses so can offset any future year gains…, I remember the losses could be used in this way for future 3 years, but latest search says can use losses forever for any future gains - is that right !?).

wmb194

https://forums.moneysavingexpert.com/discussion/comment/81946940#Comment_81946940

Yes, you can carry losses forward indefinitely but you need to declare them to HMRC within four years of the end of the relevant tax year.

https://www.gov.uk/capital-gains-tax/losses

dunstonh

But I guess HMRC are too busy to go and check every share purchase and sale of every trader, they might do that if an audit is required. A

It will be electronic soon. They are close to platforms and brokers sharing that data in a similar way to interest. However, it is not without issues. Such as in-specie transfers where the book costs have not been corrected after the move.

The date is only asked to identify if pre 1982 taper may apply.