Im a newbie share market ma ani my problem is that I’ve gotten a few bonus shares from STC, Nabil etc and i don’t know meroshare ko purchase source ma purchase price k huncha bonus share ko. Quantity 1 cha cha bhani rate 100 huncha ho? Ani tyo automatic meroshare le calculate gardine is correct?
View on r/NepalStock by rarexsunflower
It’s always the face value (100).
Think of it this way, you purchased it for 0 but the company issues it at face value (100) and either company (if cash dividend is issued alongside bonus share) or you yourself pay the bonus share tax (you can also say its a Capital Gains tax of 5% from 0 to 100, effectively changing your buy price from 0 to 100).
This effectively increases your WACC so you’d pay lesser Capital Gains Tax (since CGT/bonus share tax of 0 to 100 is already paid). If you sell at a loss (below your original WACC), then the bonus share tax paid by the company is wasted thus there is a net loss (from the system) which goes to the government.
Alternatively,
The system could have been :
– Make the purchase price 0 and thus remove the need to pay bonus share tax. (You’d pay Re. 2.5 more if you sell under 1 year, but the government wouldn’t get as much bonus share tax)
But it is what it is now and it’s 100 (the face value)