royce's Avatar


06 Nov, 2015 07:07 PM

I have been allocated a few shares in a new security at no cost to me. I have set up a new Account and Security, but can't see a way to enter these shares without creating a minus cash balance.
Your help would be appreciated

  1. 1 Posted by Tom Freeman on 06 Nov, 2015 07:36 PM

    Tom Freeman's Avatar

    How were those shares allocated? There may be tax issues involved and we can not give advice on tax issues.

    If they were an employer stock grant then you should create an income category named employer stock grant. You would then do a buyxfer assigned to this category foe the value of the stock. You should be able to get the value from your HR department.

    If these were a gift, there are two options based on the taxable nature of this transaction. One is to create an income category named stock gift. Use a buyxfer at the market value of the stock. This creates taxable income. the cost basis is the value of what you received it as.

    The other method is to do a buy sale for zero share price. This creates no income and the cost basis is zero. When you sell the security your cap gains will be the full sale price.

    If these approaches do not work for you please be specific about the transaction and i will help find a method to enter it in MD.

    Tom Freeman
    Infinite Kind Support

  2. 2 Posted by royce on 06 Nov, 2015 10:05 PM

    royce's Avatar

    Thanks Tom,

    They were loyalty bonus shares. I re-entered them as a buy transaction at zero share price which gives them a zero value. Then I adjusted the current price to market value.

    That worked ok

    Thanks again

  3. 3 Posted by Ben Spencer on 06 Nov, 2015 11:50 PM

    Ben Spencer's Avatar

    If you entered the shares as a Buy at a price of zero that should not have affected the cash balance of the account. Can you show me a screenshot of the transaction you entered?

    Ben Spencer
    Infinite Kind Support

  4. 4 Posted by royce on 07 Nov, 2015 04:23 AM

    royce's Avatar

    Hi Ben,
    I think I did something wrong the 1st time I tried to enter this txn, causing the cash balance to show a negative balance. However, it seemed to work ok when I tried again.
    So all is good
    You can close this matter now.

  5. 5 Posted by Ben Spencer on 07 Nov, 2015 02:27 PM

    Ben Spencer's Avatar

    That looks correct to me.

    Ben Spencer
    Infinite Kind Support

  6. Ben Spencer closed this discussion on 07 Nov, 2015 02:27 PM.

Comments are currently closed for this discussion. You can start a new one.

Keyboard shortcuts


? Show this help
ESC Blurs the current field

Comment Form

r Focus the comment reply box
^ + ↩ Submit the comment

You can use Command ⌘ instead of Control ^ on Mac

Recent Discussions

26 May, 2024 05:58 PM
26 May, 2024 04:49 PM
26 May, 2024 04:48 PM
26 May, 2024 04:08 PM
26 May, 2024 03:23 PM