Questions from a newbie about tax and my portfolio

Hi everyone,

This is my first post and im new to the forum, have just gotten in to the share market.

I've been reading like crazy and learning as much as I can about shares, done a fair bit of paper trading and have now made a few purchases.

I have a question regarding tax:

A couple years ago I worked for the CBA and I engaged in an employee share purchase plan, these were issued to me at $34 per share.

The following year all employee's were issued some shares, valued at around $44 (I cant remember exact figure I have it in my paperwork).

I have now set up an online broker and transferred my shares from the registry holding, to the broker.

So my question is, suppose I decide to sell 30% of my CBA shares (Which i have, to diversify my portfolio), what do i claim as my gain at tax time? Do I reference from the $34 purchased shares or the $44 issued shares?

Thanks in advance for any help given!

I would view myself as a long term investor dabbling in a few short (day trade or a couple of day trades), to medium range trades.

My plan for my portfolio is, starting with 20k, i will add roughly 10k per year in to the portfolio to build it up over time, I want to diversify my portfolio in to -

85% ASX 200 shares
10% medium-high volatility
5% high volatility

With no more then 10% in any one trade, as my portfolio grows larger I will down grade this to 8%, 6% and finally settle on around 4%.

Would that be a good spread of the portfolio?

I made my first day trade today, I picked up shares in the morning with ADI at 0.335 & sold again after 12 for about 0.380!

Re: Questions from a newbie around tax & couple of other things

jaydebono said:

A couple years ago I worked for the CBA and I engaged in an employee share purchase plan, these were issued to me at $34 per share.

The following year all employee's were issued some shares, valued at around $44 (I cant remember exact figure I have it in my paperwork).

I have now set up an online broker and transferred my shares from the registry holding, to the broker.

So my question is, suppose I decide to sell 30% of my CBA shares (Which i have, to diversify my portfolio), what do i claim as my gain at tax time? Do I reference from the $34 purchased shares or the $44 issued shares?

Click to expand...

You can choose which parcel you offset the sale against.
Presumably you would choose the $44 purchase in order to minimise your capital gain and therefore tax payable.
Remember that you don't get the 50% discount until you have owned the shares for 12 months.

Hi Julia,

Thats great news, and I have owned both for over 12 months so very happy

Thanks for your response, much appreciated