How to calculate your profit / loss of Shares

Wow!

I think I have opened up a can of worms! Well I am a bit more confused once again! Starting to get a bit scard about this trading online craic! Looks to me that you would have to make some serious profit on salling shares to come out with any money!

So what do ye think? Is it worth doing?!!
 
Thanks watersprite thats cleared that up alot for me. DIRT is only payable on interest from deposits not actual deposits themselves so no profit made from share dealing is liable to DIRT except the interst earned from the profit while the money is lying in the bank account.

Strat, assuming i'm right you basically pay more or less 23 maybe 24% on any profit you make from sharedealing. This allows for 22 CGT then stamp duty(only when buying) and then commission fees for when you both buy and sell. Therefore i think i'm right in saying that if you want to get an idea of how much profit you make make from share dealing just take roughly one quarter off your profit. That still leaves three quarters which is pretty good. remember you only pay CGT on actual profit you make. Your initial imput of money is not taxable.

So if you buy 100,000 shares at €1 each and sell them at €1.20 each you make roughly €15000 into your hand, everyone paid, profit.
 
Ok, then the only other thing that I am unsure of is how do i pay this tax? Is it all done automatically of do i have to declare the profits and pay the tax at teh end of the year? The last thing I want is a tax bill that i have not allowed for at the end of the year?!

Also, are we able to attach a program. i have one done based on what I have read. Would like to share it if ye think it works alright?
 
strat_640 said:
Ok, then the only other thing that I am unsure of is how do i pay this tax? Is it all done automatically of do i have to declare the profits and pay the tax at teh end of the year? The last thing I want is a tax bill that i have not allowed for at the end of the year?!

Also, are we able to attach a program. i have one done based on what I have read. Would like to share it if ye think it works alright?
Click to expand...

Gains are declared through Form 11 (even if no tax due as less than CGT limit of 1270) ( This may have to be declared by 31 October of following year -not sure though). Payment date is depends on when profit made

On CGT payslip A you pay
"The amount of tax due on capital gains made by you on disposals in the period 1 January 2008 to 30 September 2008"
This is payable by October 31st of that year

On CGT Payslip B you pay
"The amount of tax due on capital gains made by you on disposals in the period 1 October 2008 to 31 December 2008"

This is payable by 31st January of the next year. I assume dates will be the same roughly for this year?

Not positive on details above. Check the revenue website for more

Also I repeat my question to anyone who knows more info on question below

What costs are deductible from CGT due?
1 Brokers fees
2 How about Stamp Duty?

When calculating CGT owed can you deduct Stamp duty paid (on share purchases) as an expence?

If I make a loss one year on share trading, can I carry this loss to the following year to negate stamp duty payable? How long can losses be carried on? I read somewhere else that they can be carried indefiniately, is this true? Also if I only sell half of the shares bought, how do I calculate the profit made and hence CGT due? Want to know all these details before buying. Any help would be great.

Strat 640, it would be great if you could attach this, not sure if possible
 
strat_640 said:
Ok, then the only other thing that I am unsure of is how do i pay this tax? Is it all done automatically of do i have to declare the profits and pay the tax at teh end of the year? The last thing I want is a tax bill that i have not allowed for at the end of the year?!

Also, are we able to attach a program. i have one done based on what I have read. Would like to share it if ye think it works alright?
Click to expand...

In short (as opposed to my large complicated explanation above!), no it is not done automatically, you must declare yourself. Its declared on form 11 and paid through CGT payslip A or B depending on what time of year the shares were sold (I think!).
 
TomOC said:
In short (as opposed to my large complicated explanation above!), no it is not done automatically, you must declare yourself. Its declared on form 11 and paid through CGT payslip A or B depending on what time of year the shares were sold (I think!).
Click to expand...
You would prob be best set keeping an account of what you sold and when and what you bought. I understand you dont have to keep the CGT tax due to one side or anything during the year. You can gamble this as well on the stock market cos if you lose you wont owe CGT cos you haven't made an overall gain and can offset your losses against any wins you have.
Best thing is keep a record of everything, make an appointment with an accountant and make sure everything is in order before you write a cheque to the revenue for any CGT you might owe.
 
qazxswedc said:
You would prob be best set keeping an account of what you sold and when and what you bought. I understand you dont have to keep the CGT tax due to one side or anything during the year. You can gamble this as well on the stock market cos if you lose you wont owe CGT cos you haven't made an overall gain and can offset your losses against any wins you have.
Best thing is keep a record of everything, make an appointment with an accountant and make sure everything is in order before you write a cheque to the revenue for any CGT you might owe.
Click to expand...


For a young guy at 24 I am naive and feel that an accountant is only a waste of money, someone to take my profit! This will work ok till revenue tell me I have made an incorrect declaration!

I am also not sure if I owe 2000 euro in CGT which I pay before end october that year via payslip a, and then make a loss and am owed CGT of 1000 later in year, do revenue give me back the extra 1000 euro if I apply to get it back?
 
Dont pay any CGT till the very end. If your dealing with 1000's it set you right to make an appointment with an accountant. But no need till october in my opinion.
 
Please delete already referred to above, only repeating myself
 
Last edited:
Woo this is getting complicated! I think I will have to ask an accountant! Its a bit annoying though as when i asked sharewatch (twice) all they mentioned it that i pay the fee on price bought and sold plus the 1% Stamp. When I asked about FIRT they said no?? Should they not be obliged to mention this??

Sorry, dont seem to be a way of posting the excel program?!
 
strat_640 said:
Woo this is getting complicated! I think I will have to ask an accountant! Its a bit annoying though as when i asked sharewatch (twice) all they mentioned it that i pay the fee on price bought and sold plus the 1% Stamp. When I asked about FIRT they said no?? Should they not be obliged to mention this??

Sorry, dont seem to be a way of posting the excel program?!
Click to expand...

In fairness, it's not sharewatch's job to inform you of your tax obligations. They are only talking about their fees (the commission plus stamp duty). You only pay DIRT on the interest earned on deposits - likely to be tiny, if not non-existent, in any cash you may have in a sharewatch account. DIRT is usually deducted at source too so you are unlikely to have to worry about it.

What you do need to know more about is CGT - suggest you take a look at the revenue booklet on CGT as it has all the relevant information and is very comprehensive.
 
You must log in or register to reply here.
Back
Top