Date of Acquisition - Share Pool

What is the date of acquistion for a disposal from share pool?

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I've not had this come up before, and can’t seem to find anything online.

I have an individual who has acquired shares in a listed company on multiple occasions over a period of years. He has then started to dispose batches of them (whilst also acquiring others) in the last tax year, so I have applied the share matching rules.

However, when completing the tax return to disclose each disposal, I’m unsure what date to enter as the date of acquisition for each disposal, because the shares are disposed from the share pool, which has accumulated from multiple acquisitions over the years.

What do others do here? Do you just not enter a date of acquisition in the computation attachments, since there isn’t a single appropriate date?

Replies (17)

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By Ruddles
14th May 2024 16:02

What computation attachments?

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By FrogHappy
14th May 2024 16:32

We always attach computations to the tax return disclosing all relevant details for capital disposals, don't you?

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Replying to FrogHappy:
By Ruddles
14th May 2024 17:08

FrogHappy wrote:

We always attach computations to the tax return disclosing all relevant details for capital disposals, don't you?


No
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Replying to Ruddles:
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By FrogHappy
14th May 2024 17:49

So you are saying you don't disclose a description of the asset, the acquisition and disposal values, the dates of such, and show how you've arrived at the capital gain/loss?

You are saying you just fill in the boxes on the CGT pages only with no supporting information?

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Replying to FrogHappy:
By Ruddles
14th May 2024 19:04

I don’t do personal tax returns.

But let me turn it round. Why don’t you just attach the computation as it should be properly calculated? If you’re talking about a share pool the simple attachment form can’t be used. You need to do your own calculations. That is what I was getting at with my first response.

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By Tax Dragon
14th May 2024 20:01

Tax law would I think say to use the date of the earliest acquisition (/31 Mar 1982 if later). Subsequent acquisitions enhance an existing asset.

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Replying to Tax Dragon:
By Ruddles
14th May 2024 20:13

And those subsequent additions each have their own ‘acquisition’ dates, as would additional expenditure on any other asset.

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Replying to Ruddles:
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By Tax Dragon
14th May 2024 21:08

All of which could surely* be entered on any decent tax software... or has tax software been so de-skilled since I used to input this kind of stuff?

*Hypocrisy notwithstanding.

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Replying to Tax Dragon:
By Ruddles
14th May 2024 21:10

Tax Dragon wrote:
All of which could surely* be entered on any decent tax software...

Quite. Or even Excel.

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Replying to Tax Dragon:
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By FactChecker
14th May 2024 22:17

I seem to recall someone (and it wasn't Shirley) telling me, years ago, that it was the inverse of deciding who to make redundant (LIFO) ... so FIFO (first in, first out - and repeat).

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Replying to FactChecker:
By Ruddles
14th May 2024 22:20

That must have been years ago indeed. S104 pooling has been with us for quite some time now.

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Replying to Ruddles:
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By FactChecker
14th May 2024 22:48

1992 is not that long ago ...
... aah the halcyon days of bed'n'breakfasting - just phone the Securities manager at my local Barclays (no paperwork and settle up later).

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Replying to FactChecker:
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By Tax Dragon
15th May 2024 11:42

FactChecker wrote:

1992 is not that long ago ...

Maybe it's not so much the number of years (though for some 32 might seem like a lifetime) as the number of budgets and Finance Acts along the way.

As I said earlier, the way to think of this is that the pool is the asset, acquired when started, with enhancements and part disposals as shares are bought and sold. (Subject to other matching rules such as, as you hint, the anti-B&B one.)

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By Mitch
15th May 2024 10:47

For shares falling matched using 30 day/same day rules, use the actual date. For all others I would enter "S104 pool" or leave blank.

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Replying to Mitch:
By Ruddles
15th May 2024 10:57

The OP still hasn't told us what they are intending to attach to the return. If they are thinking of the worksheet at CGN12 of the Capital Gains Notes, they can't use it, and will need to prepare their own workings. A PDF'd Excel sheet seems the obvious choice to me.

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By FrogHappy
15th May 2024 11:25

I was intending on attaching my excel worksheet which shows the share pool additions and disposals, rather than any standard worksheet, but I was still looking to add something for date of acquision.

I've already now gone down the route suggested by Mitch and entered "pool", rightly or wrongly.

That was the kind of concise and helpful answer I was looking for, thanks.

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Replying to FrogHappy:
By Ruddles
15th May 2024 11:35

FrogHappy wrote:
I was still looking to add something for date of acquision.

Where?
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