AMIT Cost Base Net Amount Treatment

KAB_10862088
KAB_10862088 Member Posts: 3 Novice Member Novice Member
in Personal Plus and Home & Business

I have shares in an EFT (VAS.AX), which is an Attribution Managed Investment Trust (AMIT) where on the Annual Tax Statement they show an AMIT cost base net amount excess or shortfall, which means I need to reduce or increase the cost base of the shares respectively. What is the best/easiest way to record this in Personal Plus, noting I have purchased the shares a numerous times with different cost prices. Cheers

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  • Unknown
    Unknown
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  • KAB_10862088
    KAB_10862088 Member Posts: 3 Novice Member Novice Member

    Yes sorry typo, I meant ETF.

  • Unknown
    Unknown
    This content has been removed.
  • KAB_10862088
    KAB_10862088 Member Posts: 3 Novice Member Novice Member

    any suggestion on how to record this in Personal Plus?

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,418 Reckon Community Manager Community Manager

    I am no expert or authority in this area so take this advice with a grain of salt and perform your own testing however I'd suggest cost base adjustments can only done by a corporate spin-off transaction so you may want to explore that.

    The difference is the spin-off is 1:1 with a lower cost base and that difference will be income which might attract CT depending on circumstances. I believe the spin-off will allow you to treat all purchases on an average basis however from that point onward you will lose access to the individual purchases. If you wish yo maintain the original purchase information you'll have to do each purchase separately.

    I'd recommend taking a look at some of the previous spin-off guides we've had in the past at https://help.reckon.com/ for an overview on the process, such as -

    https://help.reckon.com/article/4orhf5wrip-kba-5293


    https://help.reckon.com/article/kdiouzjx7g-kba-5243


  • yoda1
    yoda1 Member Posts: 2 Novice Member Novice Member

    I am also looking for a solution to the AMIT cost base Inc/Dec issue in Reckon Personal Plus. My workaround at this stage is just to add an enhanced memo e.g. "AMIT cost base Inc $100" within the "record an income event" transaction field. Not ideal but at least is this a reminder to oneself that an adjustment is required for tax purposes when it comes time to dispose the trust units.

  • brianr
    brianr Member Posts: 1 Novice Member Novice Member

    I am looking for a solution also. The suggestion be @Rav seems complicated especially as this can occur each year in the life of an ETF, and the suggestion by @yoda1 is not ideal as mentioned.

    Is there any other suggestions?

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