Unrealised CGT Report

Note: This report is only available in Australian tax residency portfolios on Investor, Expert and Sharesight Pro plans. You can upgrade your plan to use this feature.

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The Unrealised Capital Gains Report in Sharesight calculates unrealised capital gains in your portfolio and the resulting taxable income that would arise if these shares were sold on the report date. The report is designed for forecasting purposes only, please use the Capital Gains Tax Report to calculate your actual (realised) taxable capital gain income for a period.

The report is based on the ‘discount method’ for shares that have been held for more than 1 year and the ‘other method’ for shares held for less than one year. The discount rate used is the tax setting selected when the portfolio was set up, the default rate is 50%. The tax discount rate can be changed in the tax settings tab. For more information on Australian capital gain tax, visit the ATO website.

How to run the Unrealised Capital Gains Tax Report:

1 – Click on the date field to select the date for when the report runs on.

2 – If you have any carry forward losses from the previous reporting period, select ‘Advanced Options’.

3 – Type in the amount of the loss into the ‘Losses carried forward’ field.

4 – Click ‘Apply’.

The carry forward loss will be included in the capital losses section of the report.

Note: Sharesight does not automatically account for any capital losses in previous tax years. Capital losses to be carried forward must be accounted for manually. The carry forward amount is not saved and must be re-entered if you rerun the report.

5 – The Sale Allocation Method may be changed, default is First In, First Out. To change; click on ‘Change Sale Allocation Method’.

6 – From the dropdown list, select the sale allocation method, this can be chosen at the portfolio level or individual holding.

7 – Click ‘Update current report’.

Note: Changing the sale allocation method will be saved to the portfolio and will be applied to all reports and portfolio performance.

8 – Short Term Capital Gains (unrealised) This table lists unrealised capital gains on shares held for less than 12 months (as at the report date).

Note: Quantities and cost bases are adjusted by Sharesight to allow for any capital returns and capital reconstructions.

9 – Long Term Capital Gains (unrealised) This table lists any unrealised capital gains on shares held for more than 12 months (as at the report date).

Note: Quantities and cost bases will be adjusted by Sharesight to allow for any capital returns and capital reconstructions.

10 – Capital Losses (unrealised) This table lists any unrealised capital losses.

Note: Quantities and cost bases will be adjusted by Sharesight to allow for any capital returns and capital reconstructions.

11 – Summary The summary section details what the taxable income calculation would be if the unrealised gains.

The following methodology is used to calculate taxable income:

1. The cost base of the shares is adjusted for any capital returns or capital reconstructions.

2. If there are any capital losses during the period, these are deducted from any gains made on shares held for less than 12 months. Any residual losses are then deducted from capital gains on shares held for more than 12 months.

3. The capital gains made on shares held for more than 12 months (less any losses if applicable) are discounted by your discount rate (this can be changed under the settings menu for your portfolio).

4. Any capital gains on shares held for less than 12 months (as calculated in (2) above) are added to any discounted capital gains on shares held for more than 12 months (as calculated in (3) above). This amount is the capital gain for the period.

The report can be exported to either a Spreadsheet, PDF or to Google Drive.

Last modified on June 18, 2024 UTC