anyone know about tax?

ok, this is one for the trades section...

a friend of a friend got a lump sum payment from some shares he/she owned.

the payment was $8000, this financial year.

how much tax will said person get charged for that amount at tax time next year??

does it matter how much the shares were purchased for? and price when sold?

how much should they "put away" to cover the bill next year?

thanks guys, i'll ass any info on to said person...

Complimacated.
Depends on whether the shares are "franked" - Tax already paid by the company who's shares they are - and to what degree.

i would imagine you would subtract the original purchase price and just add the amount to your annual income, look at what tax bkt that will put you in and theres your percentage

its a tragedy i swear...

i have shares.... which i bought years ago.. every year i get hit paying tax on the money i make...then it crashes like it did last month....then it makes it self again and i pay tax on it again..its a bullshit cycle..i think..i dunno how it works.... i just hate paying tax to the scumbags..

its a tragedy i swear...

i have shares.... which i bought years ago.. every year i get hit paying tax on the money i make...then it crashes like it did last month....then it makes it self again and i pay tax on it again..its a bullshit cycle..i think..i dunno how it works.... i just hate paying tax to the scumbags..

Nath
you are being ripped off...bigtime

you ONLY pay tax when you dispose/sell/gift shares
NOT when they go up in value ..
for example...
have a thousand worth $1 today...next June worth $2
you still have the thousand = NO tax payable

however if you sold 500 @ $1.50 pretty sure you will some tax


get a decent tax agent/accountant to look at this


cheers

Smitty

its a tragedy i swear...

i have shares.... which i bought years ago.. every year i get hit paying tax on the money i make...then it crashes like it did last month....then it makes it self again and i pay tax on it again..its a bullshit cycle..i think..i dunno how it works.... i just hate paying tax to the scumbags..

Nath
you are being ripped off...bigtime

you ONLY pay tax when you dispose/sell/gift shares
NOT when they go up in value ..
for example...
have a thousand worth $1 today...next June worth $2
you still have the thousand = NO tax payable

however if you sold 500 @ $1.50 pretty sure you will some tax


get a decent tax agent/accountant to look at this


cheers

Smitty

oh.... so its only valid if i sell them??

good shit... Wendy use to be my accountant, set up my finances etc...and now ive got no idea....

its a tragedy i swear...

i have shares.... which i bought years ago.. every year i get hit paying tax on the money i make...then it crashes like it did last month....then it makes it self again and i pay tax on it again..its a bullshit cycle..i think..i dunno how it works.... i just hate paying tax to the scumbags..

Nath
you are being ripped off...bigtime

you ONLY pay tax when you dispose/sell/gift shares
NOT when they go up in value ..
for example...
have a thousand worth $1 today...next June worth $2
you still have the thousand = NO tax payable

however if you sold 500 @ $1.50 pretty sure you will some tax


get a decent tax agent/accountant to look at this


cheers

Smitty

oh.... so its only valid if i sell them??

good shit... Wendy use to be my accountant, set up my finances etc...and now ive got no idea....

You do pay tax on the dividends, thats what the franked thing is all about.

I only get mail from Bill, multiple mail too, no Frank alas. Umm, Watie, have absolutely NFI about this sort of shit, just know that come tax time I take my shit to an accountant chick who charges a shitload but gets me back more than I would ever pay her