t5008

[Questionz]

Perhaps I was not able to find the right key words to find the answer, and I apologize if it's been brought up many times...

I have positions bought this year, and have partially sold them. Can anyone direct me on how to fill my ufile when it comes to capital gains? If I filled out my "Total proceeds from the sale of the shares or property" and "Adjusted cost base of the shares or property", I'm afraid that it might not be accurate, and by next year, if I decide to sell the rest of my shares, then I will not have any "purchase date".

Also, when filling this out, if I bought shares on multiple occasions, do I document on my first purchase date and my last sold date in order to make it easier to interpret on the form?

 

Thanks!

[Joanne Birtch]

Your total proceeds are what you got for selling the shares and your adjusted cost base is the amount it cost you to buy those shares -- meaning just the shares you sold.  I like to average the cost of the shares sold for simplicity. Alternately, you may enter separate line items for the separate sales.

For example:

You bought 10 shares of ABC on Feb 1 for 1.00 per share.

You bought 10 shares of ABC on June 1 for 10.00 per share.

You sold all of them on December 1st. The average cost of the 20 shares is $5.50.

You could report two transactions or you could report 1 transaction using the earliest acquisition date and average the cost of the shares you sold.

If you sold only part of them, you again average the cost but the shares purchased first are considered sold in full. In other words, first in first out.  

Note: I am not an accountant and previously worked for UFile but not as a tax expert.