• What feature do you want to see in Sharesight?
Ability to select which shares from which parcel you are selling. Currently ShareSight only supports the following options -
First In, First Out (default method) – Sharesight assumes that you sell your longest held shares first.
Last In, First Out – Sharesight assumes that you sell your most recently purchased shares first.
Minimise Capital Gain – Sharesight assumes that you sell shares with the highest purchase price first.
Maximise Capital Gain – Sharesight assumes that you sell shares with the lowest purchase price first.
Minimise Capital Gain tax - Takes discounting rules into consideration to minimise your taxable gain
• Why do you want it?
There are situations where I want to manually select which shares from which parcel I sold. This doesn’t work with the current options that you can elect with Sharesight.
• How is this affecting you?
I’m unable to effectively manage my records for tax purposes.
• Do you currently have a workaround solution? If yes, what is it?
I have to manually modify my CGT and sold share reports to keep accurate records for tax purposes.
• Can we reach out in future to ask follow up questions about this idea?
Yes
Hi @Naedish it would be good to understand the need for specific parcel selection and how this works from your end. How are you currently using your workaround solution?
What kind of situations arise where you need to manually select parcels to be sold?
@Jack_Sharesight - I’ll use a very specific example for my situation.
Say that Portfolio 1 is for a specific tax entity. Inside that portfolio I have Brokers A and B. I have purchased holdings with company ABC in the following ways:
Buy 1,000 ABC @ $1 via Broker A in 2001
Buy 1,000 ABC @ $0.5 via Broker B in 2002
Buy 1,000 ABC @ $0.8 via Broker B in 2005
Buy 1,000 ABC @ $0.75 via Broker A in 2005
Sell 2,000 ABC @$2 via Broker B in 2020.
As you can see, I can identify the parcel that I am selling very explicitly as I sold them via a particular share broker. I need a way to explicitly select the parcel in sharesight for CGT purposes to match the reality of my situation. Note that this example simplifies my situation so even if it would be possible to currently ‘trick’ sharesight into selecting that parcel it wouldn’t work for all my examples.
A workaround might be to split brokers A and B into separate portfolios, but that would require me to split my 2 portfolios for 2 tax entities into 5 portfolios for my share brokers. Not an ideal situation and I imagine that this problem is common enough for sharesight users to be a useful feature (selecting specific parcels and/or adding the ability to attach a broker to holdings so the holding can be split within the one portfolio).
I have a specific example where I want to Minimise Gain, but prioritize parcels that are eligible for long term CGT, saving short term parcels for a future sale.
Eg
100 units @ $12 held < 1 years
100 units @ $2 held 2 years
100 units @ $1 held 3 years
Sell 100 units for $20
I’d like to sell the middle units for a $9 gain ($18 x 50%) rather than the most recent units for a $7 gain, saving them for when I can claim the 50% CGT in a future sale.
Hi has there been any feed back on this thread by share sight. This is something I wish to do as is impacting my ability to utilise this for my company shares
I too would like to see the requested feature. But in the meantime, how does Sharesight support the options listed in the original post? I can’t see any way to select which shares the sale will be applied to.
First In, First Out (default method) – Sharesight assumes that you sell your longest held shares first.
Last In, First Out – Sharesight assumes that you sell your most recently purchased shares first.
Minimise Capital Gain – Sharesight assumes that you sell shares with the highest purchase price first.
Maximise Capital Gain – Sharesight assumes that you sell shares with the lowest purchase price first.
Minimise Capital Gain tax - Takes discounting rules into consideration to minimise your taxable gain
Yeh, this is seriously impacting sharesights usefulness. I am questioning the accounting background of the company for not fully understanding this requirement?
If I purchase a share at x dollars, when selling that share I need to report on the capital gain, and that’s based on the purchase price of the share.
In Australia, as well, there are taxation discounts on the capital gains when that share is held for more than a year. Associating the sale to the specific lot is required for this CGT discount (otherwise, you don’t know how long you held the share for).
Effectively, I would like to associate the sale with a specific lot - and be able to see how many shares are sold per lot, how many are remaining (still held in that lot) and the realised capital gain per lot. This is kind of non-negotiable for CGT purposes here in Australia.
Hi, this is a massive limitation and I am quite surprised that I can’t allocate a sale to particular shares held. The ATO is quite clear that whilst there are common methods to match sale of shares to your holdings, LIFO etc, so long as you keep adequate records you can pick which shares you are selling. This is exactly what I do. If I sell 2,000 shares of XYZ company, I will pick if I am selling the 2,000 I bought on 1st January, 1st February or 1st March. It is legitimate to do this but based on looking at the free version of sharesight and the above forum comments, doesn’t seem possible.
Until this is added I will not be adding my portfolio and subscribing to the annual fee for this product. Otherwise this platform is the ideal way for me to manage my shares.
I will definitely subscribe once this functionality is added. Thanks in anticipation.
I have a different situation to some of the above and the ability to select a different share allocation method for a particular parcel or manually select which parcel to sell.
I have some losses that are discounting my long term capital gains that I would rather apply to short term gains,
However I have to select either lifo or minimise cgt for all transactions relating to particular company.
Neither of these are appropriate to ensure my losses only apply to short term gains.
Selecting individual sell(s) to apply lifo with min cgt for the rest would be extremely useful.
I’ll throw my opinion back into the ring once more. The ATO explicitly states that this splitting of shares is the intended method under the taxation system - specifically this example Capital gain or capital loss worksheet 2023 | Australian Taxation Office. I have 30 years worth of share transactions and need a method to split the parcels in sharesight that matches my manually tracked records. If this is only supported via multiple portfolios then I’d need around 25 portfolios across my 6 tax entities.
Does Sharesight have any advice for this scenario?
Is this enhancement being looked at? My use case is that I am tracking a couple of portfolios for my kids (Under 18). They typically buy the same stock and often I have a similar stock in my portfolio.
As it’s all traded with my online account, I am looking for an option where I can tag or group parts of the holding.
eg
100 GOOG shares in total
50 in my portfolio
25 in Child 1 portfolio
25 in Child 2 portfolio
Ideally it will split dividend income across the lots.
I am also looking for this feature desperately. As noted by another contributor your competitor has this functionality and and it addresses a very real issue. Investors never just randomly sell shares, they always specifically decided which lots are to be sold and the brokerage accounts support this requirement. This becomes even more critical when working with foreign shares as the investor is factoring in the exchange rate of the sell relative to the buy of the shares. Sharesight needs to address this requirement as a priority, as having to do the workarounds undermnes the value of the product significantly and with the competitor having this capability you will lose market share.