Query
How do I record the amount actually paid for shares in a share allotment when the amount paid is higher than the par value of the share?
Example: Allotting 100 $1 Ordinary shares (total par value $100). The amount paid for the shares was $150, or $1.50 per share.
Solution
Step 1: Enter the premium on the allotment
When processing the allotment, in the Premium Paid Per Share field, enter the amount paid per share above the par value. In this example, that is 0.50 ($1.50 − $1.00).
Note: The premium is not reported to ASIC. ASIC only records the par value of the share.
Step 2: Choose how the premium appears on your documents
In Document Production, each document has its own premium setting. Click the ellipsis (…) next to the document to open its options.
Share Certificate: Share Premium toggle
Turn on Print total premium paid to print the premium on the share certificate.
Register of Members: Add Premium to Amount Paid toggle
The Add Premium to Amount Paid toggle controls whether the premium is included in the amount paid per share shown on the Register of Members.
| Toggle | Amount paid per share on the register | Total amount paid (100 shares) |
|---|---|---|
| On | $1.50 (par value + premium) | $150.00 |
| Off | $1.00 (par value only) | $100.00 |
If the premium or consideration is being added to the $ value per share on the Register of Members and you only want the par value shown, turn Add Premium to Amount Paid off.