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Distribution Reinvestment

Discussion in 'Shares' started by MasterCheif, 27th Jun, 2008.

  1. MasterCheif

    MasterCheif Active Member

    Joined:
    22nd Sep, 2007
    Posts:
    43
    Location:
    Melbourne
    Hi All,

    I have my distributions reinvested for STW do I need to pay any tax on these distributions? Also will they be allocated to my CHESS holdings and therefore can be sold via my comm sec account?

    Many Thanks.
     
  2. Simon Hampel

    Simon Hampel Co-founder Staff Member

    Joined:
    9th Jun, 2005
    Posts:
    4,619
    Location:
    Sydney, Australia
    Yes you will need to declare the income on your tax return. They will send you a statement detailing how much you earned for the year and what the tax breakdown is (eg income vs realised capital gain etc).

    Yes the reinvested units will automatically appear in your CHESS holdings and you will get a statement about that too.

    ... at least that's how it happens with the shares we own that have a DRP!