[GNC] Stocks/Equities queries (Australian Based)

Sat Mar 2 07:37:45 EST 2019

HI guys,

I got several stocks all entered in now: Really happy with how that's gone.

Now I'm tripped up on a bonus issue of shares.

For some reason I'm lost one how to enter these bonus shares that cost
zero. I enter in 16 new shares to the correct asset/stocks/sharecode
account, but even when I put zero as the cost, automatically a value of 1
appears on the next line of the split: I am unable to remove this 1. These
shares were a bonus, with zero cost to the holders.

Any ideas?
Thank you.
Xboxboy

On Sun, Jan 20, 2019 at 6:46 PM Xboxboy Mageia <xboxboy.mageia at gmail.com>
wrote:

>
>
> On Mon, Jan 7, 2019 at 6:46 AM David Cousens <davidcousens at bigpond.com>
> wrote:
>
>> Hi,
>>
>> The brokerage charges usually come on top of the share price as a service
>> fee charged to your brokerage account. I would
>> use the gross pricing method as the expenses will be deductible as
>> brokerage fees and you would use the share price and
>> number to calculate the capital gains nott the nett price. GnuCash's
>> The transaction to record this is:
>>
>> Asset:Bank                                    Cr 2935.35
>> Asset:Shares   500@$5.01             Db $2880.75
>> Expenses:Shares:Brokerage   Db 54.60
>>
>>
>> Unless you are registered or required to be registered for GST then you
>> can ignore the GST. If you are close to the
>> turnover threshold for GST registration with your share trading (or
>> combined turnover if you operate other enterprises
>> as the same entity), it would probably pay to start to track GST so you
>> know when you go over the threshold.
>>
>> https://www.ato.gov.au/general/capital-gains-tax/shares,-units-and-similar-investments/shareholding-as-investor-or-share-trading-as-business-/
>> ,
>>
>> https://www.ato.gov.au/Business/GST/In-detail/GST-issues-registers/Financial-services---questions-and-answers/?anchor=a4_6
>> . You can also register under the threshold and claim GST credits, but it
>> is optional then.
>>
>> The brokerage fees etc  will of course be deductible against any income
>> which is the main reason for recording them. You
>> also have the correct value for CGT calculations in Australia which is
>> not the nett price.
>>
>> Please CC gnucash-user at gnucash.org in all replies to ensure the full
>> conversation appears on the list
>>
>>
>> David
>>
>>
>>
>>
>> On Sun, 2019-01-06 at 17:41 +1030, Xboxboy Mageia wrote:
>> >
>> >
>> > On Sun., 6 Jan. 2019, 3:15 pm Xboxboy Mageia <xboxboy.mageia at gmail.com
>> wrote:
>> > >
>> > > On Sat, Jan 5, 2019 at 11:35 PM David Cousens <
>> davidcousens at bigpond.com> wrote:
>> > > > XboxBoy
>> > > >
>> > > > I've done this recently with a superannuation pension fund. I had
>> initially
>> > > > entered an Opening Balance from mid last year and the transactions
>> forward
>> > > > from that. I already had data for the pension payments entered as
>> income
>> > > > (not taxable in my case for this fund which is taxed in the hands
>> of the
>> > > > fund administrator), but not the fund itself as an asset and the
>> investment
>> > > > returns and fees charged, payments to me out of it etc. I took it
>> back six
>> > > > months  at a time using the six monthly statements/transaction
>> records I had
>> > > > on file. Just changed the date on the opening balance transaction
>> to the new
>> > > > starting date and the balance at that date, then entered the
>> investment
>> > > > returns, fees pension payments etc between the new opening balance
>> date and
>> > > > the previous one. Checked that the opening and closing balances for
>> that
>> > > > period still agreed with my statements.
>> > > >
>> > > > I had to do a bit  of trickery as I receive the pension payments
>> paid
>> > > > directly into my bank account from the fund administrator. To be
>> able to
>> > > > reconcile that with the bank statements, I could not record my
>> pension
>> > > > payments simply as decreases (credits) to the fund and increases in
>> my bank
>> > > > account. I set up a separate Income and Expenses account to record
>> the
>> > > > Investment return to the fund and expenses associated with that. An
>> > > > additional Expenses account recorded the pension payments as
>> decreases
>> > > > (credits) to the asset account for the fund. My entries for the
>> pension
>> > > > payment are a bit complex. a 4 way split records both the payment
>> into my
>> > > > bank account as income and the reduction in the asset value as an
>> expense
>> > > > against the fund.
>> > > >
>> > > > Asset:Bank
>>
>> > > > Db xxxx
>> > > > Income:non-taxablePension
>>
>> > > > Cr xxxx
>> > > > Expenses:non-taxablePensionFund:pensionPayments       Db xxxx
>> > > > Asset:non-taxablePensionFund
>>
>> > > > Cr xxxx
>> > > >
>> > > > where xxxx is the pension payment I receive from the fund.
>> Recording the 6
>> > > > monthly investment returns looked like:
>> > > >
>> > > > Asset:non-taxablePensionFund
>>    Db
>> > > > nett investment return
>> > > > Expense:non-taxablePensionFund:Fees&Taxes                 Db  fees
>> and taxes
>> > > > Income:non-taxablePensionFund:InvestmentReturn
>>
>> > > > Cr  Gross invetment return
>> > > >
>> > > > Once your back to the original purchase transaction and have
>> entered it you
>> > > > can then delete the opening balance transaction for that stock
>> completely.
>> > > > Once I had it all in, I reconciled it forward against the
>> statements to
>> > > > check I had it right. As others have noted you have to be careful.
>> If you
>> > > > are in Australia, you aren't taxed on unrealized gains/losses. You
>> can still
>> > > > track them in an equity account though if you have access to the
>> historical
>> > > > price information.
>> > > >
>> > > > Regards
>> > > >
>> > > > David Cousens
>> > > >
>> > > >
>> > > >
>> > > > -----
>> > > > David Cousens
>> > > > --
>> > > > Sent from:
>> http://gnucash.1415818.n4.nabble.com/GnuCash-User-f1415819.html
>> > > > _______________________________________________
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>> > > > Please remember to CC this list on all your replies.
>> > > > You can do this by using Reply-To-List or Reply-All.
>> > >
>> > > Thank you for all your replies. I haven't studied each in detail, but
>> my suspicions are confirmed: Gnucash is
>> > > flexible enough I can work what ever way, works for me.
>> > >
>> > > Looking at the tutorial guide again: I would like to track my capital
>> gains/losses, so I believe I need to use the
>> > > net pricing method?
>> > >
>> > > The way I understand this is for example:
>> > > I have one stock: Total cost of purchase: $2,935.35
>> > > Consisting of:
>> > > 575 shares @ $5.01 = $2,880.75
>> > > Brokerage of $54.60 (GST of $4.96 but as an individual I can't claim
>> this so I imagine I disregard this, and claim
>> > > the total brokerage cost as an expense??)
>> > >
>> > > So in the tab, I enter the cost as $2,880.75,
>> > > the brokerage cost appears out of the account that purchased the
>> shares?
>> > >
>> > > Apologies if my terminology is a bit muddled.
>> > >
>> >
>> > After reading the buying shares section several times,I believe I was
>> wrong. I want to be using gross pricing.
>>
>>
> Thanks all. I reckon I understand how all that works now.
>
> As for entering in my dividend income, with franking credits, I've
> attached a picture of how I've set one company up: I'm pretty sure I've got
> it looking right, but open to any suggestions.
>