thewood, Obviously, you have some capital gains that you are...

thewood,

Obviously, you have some capital gains that you are trying to offset some capital losses against. Still to early in the financial year to start worrying about this sort of tax planning.

If the LOMOA Option expires (i.e. you do not exercise the LOMOA options), this is a capital loss and you can claim the capital loss, being $Nil LOMOA value after option expires less whatever options cost you. E.g. if LOMOA options cost you $0.15 cents ... then a $0.15 cents capital loss per LOMOA.

If you exercise LOMOA options, then this is not a Capital Gains Tax event, the cost price of your LOM shares from the exercise of LOMOA options will be the total of (a) cost of LOMOA options (say $0.15 per example above) plus $0.20 for exercise of LOMOA options = $0.35 cents per LOM share (with a purchase date of September 2017 ... which means 12 moth discount for capital gains (not relevant for capital losses) starts again). So the only way to realise your loss is to sell the new LOM shares (from the LOMOA option exercising) and claim a capital loss. In the example of $0.35 cents (above) less todays' sale price of say $0.27 ... would result in a loss of $0.08 cents per share.

If you want a bigger capital loss, let your LOMOA options lapse (God forbid ... or sell on market) and simply buys LOM shares on the market. You will lose a few cents differential between LOMOA price + $0.20 cents exercise and buying LOM directly from market.

If you a long term for LOM simply exercise LOMOA and hope all goes to plan / expectation.

Hope this makes sense.

Kind regards,

zippy1