Capital Gains

The Countdown to End of Financial Year Is On

The count down to the end of the year is on (the financial year that is).


With only 13 days to go before the end of financial year, it’s time to make a move on a few things before it’s too late. We’re going to cover a few of those during the countdown, but here’s the first action point:

Do a calculation now on your realised Capital Gains for the year.

Why is this so important? Because you might have some losses lurking in your portfolio that you can realise and then use those losses to offset the gains you’ve made. And that means lower tax.


So, go ahead.


1.        Make a list of any shares you’ve sold this year.


2.        Dig through your paperwork and find out how much you paid for them.


3.        Calculate how much you gained or lost on the shares you sold.


Now…. If it’s a gain (and it’s been a decent year so it should be – especially if you’ve sold any bank shares in the last 12 months), do the same for the shares you still own (this is called calculating your unrealised gains and losses). If there’s a loss lurking there (maybe a holding you’ve never wanted to admit you got wrong), now might be the time to take the hit, before the end of the financial year, and at least save yourself some tax.


Of course, you might want some advice about which shares to sell. In that case, make sure you call your stockbroker – or if you don’t have one, contact Felicity at Morgans on (07) 5581 5737, or send her an email at [email protected]