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Capital Gains calculators

Are there any capital gains calculators specifically designed for funds investors

Some funds wrap dividend payments or fixed interest payments back into the fund price. You get a certificate each year of how much these payments were, and they count as income in that year's personal tax assessment.

So when you finally dispose of the fund, or a portion of the fund, you can't just take the selling value and subtract the original buying value, because some of that value increase has already been taxed as annual income. Presumably you have to subtract the accumulated income from the increase in value in order to arrive at the capital gain. If you've held the fund for many years this could be quite an exercise...

So are there any tools that extract the capital gain from an ISIN given the purchase date and the sale date? Such a tool would have to examine market feeds to extract rolled-up income information. It sounds like a perfectly plausible thing to exist as it ought to greatly reduce the potential for error and it feels as if it would be a common requirement for personal tax calculation where individuals have invested in funds.

Maybe I'm completely misunderstanding how capital gains on ISIN's with rolled-up income work, in which case please be gentle!

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06th Apr 2019 23:05

From a CGT point of view you are treated as if you received the income (taxable on SA return) and then immediately spent it on the fund units. Either receiving additional shares/units or just leaving the money in the fund.
The cost for CGT is the original amount paid plus all distributions received since that date.

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07th Apr 2019 11:20

Can it be done? Probably - at huge cost.

Is it done? I very much doubt it. Who would be paying to maintain the 'system'. How many investors need it?

The obvious (if only useful in hindsight) answer is to keep proper records in the first place.

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07th Apr 2019 12:28
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By Bobbo
08th Apr 2019 13:21

TomMcClelland wrote:

Presumably you have to subtract the accumulated income from the increase in value in order to arrive at the capital gain. If you've held the fund for many years this could be quite an exercise...

Surely you would have a record of the accumulated income from having to include it in your tax computation each year?

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