Tax on Shares. need help.

gorax

Can someone explain how should i handle taxation of stock market options please?

I've looked through the forum and found some useful details, but my situation is more complex and i need some clarification.

So I've read so far that when share dealing i should refer to Capital Gains Tax @ 20% on the profit (after deducting annual exemption of €1,270).

In 2009 I've made:
- 10 buy transactions
- 9 sell (so I've held one of the options till 2010)
- the last sell (9th) was made on 29th of December with the settlement date of January the 4th

Now, what Im not sure about is this:
Which figure should i use as a base for tax calculation?

If I look at my 9 full transactions (9 buy & 9 sell) it says i've made a profit exceeding the exemption so the tax has to be paid.
If i take that 10th buy as a part of the profit/loss calculation it turns out i don't have to pay tax.
And there is that thing with the 9th sell (bargain in 2009, settlement date in 2010). How should i proceed here?

And the final one: when is the final date for dealing with this kind of tax?

I know im asking for a lot, but i have no clue

wishful thinker

Firstly,

The options are taxed shares based on a FIFO (first in first out) basis. Basically the gain you make is taxed.

This is not too simple a process. I will admit I'm a tax consultant.

I would say you should contact an accountant/tax advisor on this to ensure that it is done correctly.

Mr. Incognito

Sorry mate I'm going to have to lock this.

Please read the charter re specific advice.

Tax is due on the gains individually with allowable costs. It is not "netting" the profit and loss and taxing accordingly.

When the tax is due depends on when they were sold.

For 2009, the due date for paying CGT is determined by the date the asset is disposed of, as follows: Disposals between 1 January and 30 November 2009 ('initial period') – CGT due 15 December 2009, Disposals between 1 December and 31 December 2009 ('later period') – CGT due 31 January 2010

As you are late with the payments and you don't know what you are doing speak to a professional asap to mitigate penalties and interest.