How to handle Suncorp return of capital and share consolidation (2025)

For Suncorp’s 2019 return of capital, go to this page.

Sharesight makes it easy for investors to handle corporate actions and track the capital gains tax implications. The benefit of using Sharesight to track the Suncorp (SUN) return of capital also ensures that you maintain an accurate record of your portfolio performance.

Summary

Suncorp Group is returning A$4.1 billion of the proceeds from the sale of its banking business to shareholders through a capital return and a special dividend. This will be followed by a share consolidation to adjust the share price.

Key Dates

• Record Date for Capital Return: 5 March 2025
• Ex-date for Special Dividend: 6 March 2025
• Payment Date for Capital Return: 5 March 2025
• Payment Date for Special Dividend: 14 March 2025 (with the interim dividend)

Capital Return and Special Dividend Details:

• Capital Return: A$3.00 per share
• Special Dividend: A$0.22 per share, fully franked
• Share Consolidation: ratio - 10 for 11 (Every 11 shares held will be consolidated into 10 shares)

Tax Implications:

The capital return is not assessable income and will not be subject to income tax. The special dividend is fully franked and will be included in your assessable income, along with the franking credits.

The special dividend will be included in the 24/25FY Taxable Income Report.

How to handle this in Sharesight

Sharesight automatically populated the consolidation trade and special dividend in your portfolio.

For the capital return, you need to create a ‘Return of Capital’ trade. Steps below:

1 - On the Overview Page, click on Suncorp (SUN.ASX)

2 - Select Trades & Income tab

3 - Select Add trade or adjustment

4 - Date of trade: 25 Feb 2025

5 - Trade type: Return of capital

6 - Paid on: 05 Mar 2025

7 - Capital Return Value: $3.00 x quantity held on record date

Example: 1,000 shares x $3.00 = $3,000

8 - Click Save trade

FAQ

What is the reason for the capital return and share consolidation?

Suncorp is returning the proceeds from the sale of its banking business to shareholders and consolidating its shares to adjust the share price.

What do I receive for my shares?

You will receive a return of capital of $3.00 per share.

Where can I find more information?

You can find more details on the Suncorp Group website and in the Capital Return Shareholder Flyer.

Is this a taxable event?

The capital return itself is not a taxable event. It’s considered a return of your original investment, not income. Therefore, it won’t be included in your assessable income for tax purposes. However, it will affect the cost base of your Suncorp shares, which is relevant for calculating capital gains tax if you sell your shares in the future.

How do I find my tax liability if I sell my Suncorp shares in the future?

You can use the Unrealised CGT report to work out your potential capital gains/losses.

How does this affect my Suncorp performance and cost base?

For performance return, the capital return increases unrealised gains (or reduce unrealised losses). You can see your total return (including special dividend) using the Performance report

The return of capital lowers your Suncorp’s total cost base.You can find your Suncorp cost base using the Historical Cost report. If you don’t have a Sharesight account, sign up here for free, enter the date you bought Suncorp, follow the steps above to keep track of the cost base.

The guide above is a suggestion on how to handle the corporate action in Sharesight and is not finance or tax advice. We advise you to consult your financial advisor or accountant. We also encourage you to review the official Documents for full details.

Last modified on March 5, 2025 UTC