Hello,
Please excuse me if I have terminologies wrong or perhaps written unclearly.
I have been very fortunately awarded stock in a company I work for… twice.
The stock is a NYSE ($USD) stock, and I am an Australian ($AUD) citizen for tax.
The stock is not mine until it vests (typically 3 years from the date they are awarded) and I am not sure how to setup the Sharesight portfolio options or record the holdings accurately… so as not to misrepresent the taxes withheld or impact my tax reporting etc.
Here is the exact scenario which I copied the data from the share portal:
- 70 shares awarded on 6-Feb-2014
- Which vested to me on 15-Feb-2017 (on this day 33 were held as tax withholding, leaving 37 remaining)
- Dividends on the vested shares have been paid over the regular dividend periods, to a cash account within the portal
- 130 shares awarded on 7-Feb-2019
- Which will vest to me on 16-Feb-2022
I don’t know how to setup the portfolio (such as currency) or how to record the vesting which happened in 2017… the deduction of shares withheld for tax or how to record the dividends.
Is this something anybody could share any advice, perhaps you’ve managed this scenario before?
Thank you
HI - I had a similar situation. I worked for a large tech company and had various allocations of RSUs which vested over time. I am UK based, the RSUs were in USD.
Not sure how the tax works in your country…but lets say I had 70 RSUs awarded on 6th feb 2014, and they vested on 15th feb 2017 and 33 were held as tax witholding…then I simply added the 37 stocks ONLY into sharesight as effectively purchased on 15th feb 2017 at the vest price. The 33 never were held by me…they were just a promise 
As far as the UK is concerned my “income” tax is paid on the initial vest - hence the 33. But from 15th Feb 2017 onwards…when I sell the 37, or part thereof I would record that as a sale in sharesight and then work out the gain accordingly for tax purposes.
It’s as if the initial vest was classed as income, and taxed accordingly by the withholding. And the remaining 37 are then taxed according to capital gains rules when you sell. So I never recorded anything in sharesight until the vest, and only record the actual stocks I received.
Lets say I had other RSUs ready to vest…in 2022, 2023 etc…I would not add those to sharesight until they actually vested.
I know it’s not a complete answer - hope this helps.
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Yes! This makes total sense to me and I think it’s exactly what I’ll do too.
The first parcel of shares were while I was living in the UK and the second back here in Australia.
I believe your approach works for me too as it’ll make sense that I can begin to account correctly for the dividend payments made since the vest.
Perfect, thank you!
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