How share issuance price are calculated on transfers

When shares are issued, the price per share on your Cap Table is simply what was paid for them.

Transfers can be different. If a shareholder bought shares at different times and different prices, and the transfer didn't name which specific parcel was sold, Cake records a weighted average price across everything they held. This applies to both sides of the transfer: the seller's remaining amount invested, and the price recorded against the shares the buyer received.

The actual amount the buyer paid the seller is recorded separately, and you'll see it as the total or transfer value alongside the averaged price.

You'll see these averaged figures anywhere Cake shows a price per share or amount invested on the shares subject to a transfer, such as a holding statement.

If your accountant requires documentation for the transfer the best source of truth is your transaction documents, like the share transfer agreement, are the source of truth for what was bought, sold, and paid. Any tax lodgement should be prepared from those documents, not from the figures displayed in Cake.

Cake isn't a tax or legal adviser, and the figures on your Cap Table are a company record, not tax advice. Before using any price or amount invested to work out a capital gain, for the IRS, the ATO, or your local tax authority, confirm your cost basis with your accountant or tax adviser. They may calculate it differently based on what was actually bought and sold.