Just wanting to point out a small quirk that I’m not sure if it’s been mentioned already?
With respect to end of financial year dividends from ETFs (i.e. VDHG), the Ex-dividend date is 01/07/2021 (Cum-dividend 30/06/21) and the payment date mid-July. This is reflected correctly when generating a taxable income report (attributed to FY20-21).
However, on the main portfolio view and the individual holding view, the dividend amount gets counted in “This Financial Year” - is this due to the payment date falling within the current financial year? Just wondering if these dates and reporting should be handled consistently?
I noticed this week similar problem in portfolio view and individual dividend dates, requesting consistency. Currently it causes mismatch in totals for a period from tax perspective - ex div date vs actual date
Hi @Navarre the issue is also the type of entity paying … A trust structure (APA, TCL etc) will pay in August but it will relate to the prior tax year… IVV and other ETF’'s are similar …
From the tax perspective you have no real alternative but to include them in the appropriate tax year but from the performance view it depends on what your own policy is as long as its consistent from year to year.
If I had to pick only 1 then I would pick the tax solution over when the cash was received. As least it comes a consistent basis.
Yeah, can see the argument for including in the current financial year from a “performance” point of view as that’s when you actually got paid.
I guess the generated taxation report is accurate. I guess it depends on what your internal consistencies are and how you process it each time you look at your charts.
Could this be included as an “option” to select between the two for the purposes of performance tracking vs. taxation tracking? Not sure what the demand for this would be or how difficult it would be to code.
In portfolio view, for each security, income return is as per Date paid. If someone is picking up dividends from tax perspective, this may result in double counting - previous year vs current year, performance vs tax.
Being tax time, particularly for SMSF, all dividends for the financial year should be based on ex date than dividend paid date. This is the way smsf accountants calculate income for the year. Unless I export into spreadsheet and exclude few entries based on the ex date, it is not going to tally. Any ideas?
Bumping this as I have just found I have the same issue with at least 2 of my ETFs.
Navexa tax reporting does not align with ETF annual statement due to ETF being trust and the final distribution was earned in last FY (22-23), but not paid until this FY (23-24).
This essentially makes the reporting from Navexa useless.
Hi, specifically with the ETF VEU.ax (a Vanguard ETF). This would appear to require the July distribution each year, (record date June, and covering the 3months to 30th June), to be recorded in the previous FY, but it is not. It appears to be a re-visit to your linked thread, Navarre, which is now closed. But VEU is not showing correctly in my 2023 tax report, for the reasons above. And there is no flagging of this dividend with a warning/notification. Thanks.