Managed Fund Tax Statement Reconciliation

You can! The components should be available on your Taxable Income Report.

So provided I fill these in from the AMIT report accurately they’ll mimic what would appear in Sharesight a bit later?

I’m referring to the Sharesight cash account that is linked within Sharesight.
I don’t have a Xero account
I think this is the way that Sharesight is set up to work, not a user-specific problem.

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Thanks for clarifying, and you are correct. However, if you confirm the payment when your receive it, it’ll show in the cash account. The AMIT form still shows in the Taxable Income Report regardless of whether payments are confirmed or not.

This won’t affect the amounts received when filling out the components in the report. Only the AMIT components will update, so what’s in your cash account will be unaffected.

My understanding is that if I confirm payments as they occur then Sharesight cannot update them and cannot enter the AMIT data. Is that correct?

If so, I have two choices, both unsatisfactory to me:

  1. don’t confirm payments from ETFs until Sharesight has entered the AMIT data in August / September. This results in the payments not appearing in my cash account and my Sharesight cash account balance is virtually always inaccurate.

  2. confirm ETF payments as they occur noting that they can be incorrect by a small amount. This means that I have to enter all of the AMIT data myself, a process that is not user friendly. When entering AMIT data, if I enter the data incorrectly or misunderstand how to enter it, I can potentially change the total amounts received and make the record inaccurate.

This is why I’ve suggested a 2-step process to confirm the total amount received but still allow Sharesight to enter the AMIT data at a later point, without changing the confirmed amount received. That is, entering the AMIT data would subdivide the confirmed amount received into correct aliquots.

Cant believe all of this is still an issue. Considering the annual sharesight cost - zero improvements have been done to ease of use come tax time. Entering AMMIT figures manually is a cumbersome process when you have mutliple ETF’s and Sharesight takes way too long to prefill. I’m trialing a cheaper competitior this year to see if they make it easier.

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I hear you. ATO questioned my Sharesight figures as it changes the quarterly figures, I was told it was inconsistent with their own records they receive quarterly. So there was a lot of issues and questions between me, the ATO and my accountant and was almost audited due to the sharesight data.

Kindly share your experience with the cheaper competitor as SS seems unable to resolve this issue.

@Jack_Sharesight - I think this is the most important question for clarification.

If we confirm the distributions/payments throughout the year, (so we can track our cash account value and DRP etc.), will Sharesight still automatically adjust the AMIT values in Aug/Sep based on the end of year statements?

I’m an ex CPA (not a Tax accountant though) and programmer and this is the second year I’ve had ETF’s and I’ve only just managed to twig to the whole issue of AMIT Cost base adjustments. Last year I didn’t even realise that the ATO’s software didn’t transfer the amounts I entered from the AMIT Statements into the capital gain area of the tax return, (ie. why does the ATO Tax entry system require double entry - they already have the Trust funds internal CGT trading information from the AMIT statement entry) so my return must be wrong last year because of that by a small amount since I didn’t have a lot of ETFs then…

This year, with a lot more invested, I tracked all my manual capital capital gains from my own ETF trading, worked the gains and losses and then also added the capital gains/losses from the ETF’s own internal trading from the AMIT statements… Hopefully that’s right… The problem is now I can see there is an AMIT cost base adjustment figures on part 2 of the Vanguard and Betashares statement and it’s expressed as a total dollar figure - not per unit… So I’ve made multiple purchases and sales during the year of the same ETF’s and sometimes partial sales by specific identification of parcels of shares. So not necessarily FIFO. Then to find out I have to work out some sort of pro rata cost base adjustment based on a single dollar figure from an AMIT statement well gees… this really is bordering on needing a degree in rocket science to administer… I don’t think I can do it.

Looking at what Sharesight is doing and I’ve only spent a few hours working out what’s going on… well I can see they adjust the cost base on every share… but re: the audit trail on that I’m not sure how I’d go on that… and also if you were to do cost base adjustments manually - how would you even enter that online to a tax return ie. where is the field in the ATO’s system facilitating that… What an absolute nightmare… I’m totally stunned.

Also I’m an awful lot more savvy than the average person in terms of programming, logic and financial literacy so if I think it’s a nightmare well all I can say is there must be a lot of people that haven’t even worked out there’s an issue and I wonder how on earth they are doing their tax returns. Also all the various Trust Fund’s tax guides are very scant on what the AMIT tax adjustment is and offer very little guidance on it. The ATO legislation is absolutely vague on it. There is virtually nothing that helped me searching on google on it. I rang Betashares and their IT guy was very vague as well. What am I missing here? I rang the ATO and their supposed ETF expert and they looked over what I had done and I mentioned the cost base thing which I hadn’t done at that point and they said I didn’t have to worry about it because I was using the CGT quoted in the AMIT statement and my own CGT calcs for my own trading during the year which had no cost base adjustments which I now think is probably wrong.

I finalised my transactions and entered the AMIT statements from the funds - in my case for Betashares and Vanguard’s A200, VAS and VGAD. I did a reconciliation of the AMIT cost base amounts vs the Purchase prices incl brokerage and the difference for VGAD was the AMIT increase/decrease amount per the schedule provided by the fund. Re: A200 and VAS they didn’t agree… however VGAD I disposed of completely. VAS and A200 I had quite a few disposals and acquisitions during the year and I had a holding of them at the end of the year so I’m wondering if the difference is because there was some unrealised amounts sitting in there and it only put a partial AMIT cost base adjustment on the stuff I disposed of? So confusing for me. I’m not sure how it’s all apportioned so don’t know whether to trust it or not… A few transactions also had no cost base variance agains the Amit adjust amount so that was weird too. Is that because Sharesight worked out that the distribution in cash matched what the funds had given me in Income for those couple of transactions?

OK I think I know why some had zero AMIT adjustment amounts… the individual trades were bought and sold before a dividend was distributed… that’s my theory. I still can’t quite work out the apportionment method though and whether the AMIT totals don’t agree to the AMIT statements for funds that I still have a balance on at Yr end because it’s a part distribution of the AMIT increase/decrease for that reason?

I had a think about how I’d apportion the Annual AMIT Increase/decrease…

  1. Prorate the Annual Amit Increase/decrease in proportion to the quarterly dividend distributions.
  2. identify the units that triggered the dividend in each quarter and prorate the quarterly Amit increase/decrease per share.
  3. Add the amount to the cost base.

This would result in some units getting 4 quarters worth of adjustments and some less than that depending on when the shares were acquired and triggered a dividend. I’m also assuming that each year’s amit increase/decrease is cumulative. So if you held the shares for longer than the calendar year you would be accumulation many quarters worth of increments/decrements.

So is that how Sharesight does it? Or do they get specific quarterly information that I’m not privy to from providers (like Betashares and Vanguard in my case). If that’s the case I’d never be able to check if the calculations in Sharepoint are correct because I can’t replicate it manually.

Who is this competitor? I’m getting a little tired of SS’s manual processes when it should all be automated.

Apologies, you are correct in saying this. I’ve been chatting with our dev team and that is confirmed. Our dev team has hopes to improve this down the track.

For now, your two options would be:

a) Confirm all payments at the end of the FY when you receive your AMIT statement
b) Confirm during the year to sync with the cash account, then edit & reset each payout in that FY to then enter the components in the Taxable Income Report to then save & confirm

I’ve made sure to log this feedback and our dev team is aware of it.

Yep, so it seems I got mixed up and apologies all. Please see my most recent comment for how to handle in the interim :+1:

G’day Jack,

I add dividend/distribution statements as PDF attachments to the dividend/distributions in Sharesight when I receive them. If I reset these transactions I will lose the attached files. Is there any way around this?

Thanks

Paul

And whilst the Dev team is developing … can we find somewhere to be able to attach the PDF of the tax statement? Even if it’s just allowing multiple attachments to a dividend/distribution.

Thanks in advance!

Paul :slight_smile: