Australia's largest stock trading and investment forum Australia's #1 stock forum

AWD

Click for more information

0.00%

0.0¢ aleator energy limited

Ann: Change of Director's Interest Notice, page-9

First 9 Last

Share
Profile

Follow
Byron

8,781 Posts.

490

28/11/15

17:48

Post #: 16501692
Share

Originally posted by hsv2001 ↑

It looks to be an off market transfer to his super fund, shows confidence the SP will increase in my opinion. Why would you realise a capital gain now and pay tax of approximately $12k if there wasn't confidence this is quite a low point in the future share price?

He acquired 1m of the shares transferred on the SPP at .005 (so $5000) and let's assume the remaining 666,667 were also at a similar price (.005), so total cost $8,333

The off market transfer to his super fund triggers a capital gain in the company and the total gain is $40,000, at company tax rate total tax payable is $12k.

So why pay $12k in tax now when you didn't have to? And the transfer to the super fund allows a much more generous tax rate (if any) on the capital gains/dividends to flow if all goes well.

This of course is based on no capital losses in the company etc etc etc, sorry I'm just bored and with no trading for weeks gotta find something to do.

Expand

Thnx for the analysis.

AWD Price at posting: 2.6¢ Sentiment: Buy Disclosure: Held
1 Upvote

0 Great analysis

Reply

Top Stories

Bitcoin hits fresh record as instos pile into BTC ETFs – and Trump helps, too

DXB

Dimerix links up with US NEPTUNE network to boost recruitment for FSGS study

The Altcoin Landscape (Part 1): Key alternative cryptocurrencies to watch

MIN

Movers and Shakers: Zip Co, MinRes, Kuniko, more – The week's top ASX gainers

Making money: How many microcaps should be in an investor's portfolio?

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Week 44 Wrap: Relatively boring week ahead of US election; HotCopper's most watched; Oz inflation at 3.5%

Aussie inflation seemingly hit a 3 year low. So why's the ASX200 red?

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited

'We're looking': Nickel-rich Indonesia sounds graphite warning to Aus producers

First 9 Last

Add AWD (ASX) to my watchlist