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8 Dec 2023

I have noticed recently my online share broker has for some share purchases and sales, completed the transaction at differing prices, but part of the 1 x request / contract:


For example:

Purchased 100 shares in company A

Price:

90 shares at $10

5 shares at $10.10

5 shares at $10.15

Average price: $10.05 (example average price not accurate, but would equal the actual average above)


If I am a share investor, do I need to treat all 3 x of the above as seperate capital gains events (be sale or purchase), or just simply use the average as it was part of the 1 x contract generated by the online broker.


Your guidance will be appreciated.

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465 views
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knaresbro(Devotee)Devotee
8 Dec 2023

I've always treated such a purchase as a single event, @Shares-investor . The cost base is the total shown on the broker's trade confirmation and includes brokerage, costs and GST. The average price listed is before those extra items and can therefore be disregarded.


In your case (including by way of example the brokerage cost I pay, $4.99), your total cost would be $900.00 + $50.50 + $50.75 + $4.99 = $1,006.24. The average per share would be, in this example, $10.0624.

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Most helpful reply

knaresbro(Devotee)Devotee
8 Dec 2023

I've always treated such a purchase as a single event, @Shares-investor . The cost base is the total shown on the broker's trade confirmation and includes brokerage, costs and GST. The average price listed is before those extra items and can therefore be disregarded.


In your case (including by way of example the brokerage cost I pay, $4.99), your total cost would be $900.00 + $50.50 + $50.75 + $4.99 = $1,006.24. The average per share would be, in this example, $10.0624.

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Broker buying / selling shares in a tranche at different prices | ATO Community