Identified Shares

Identified shares

Stock or mutual fund whose purchase date and price may be identified for capital gains and tax purposes when shares sold.

---

Identified Shares

Shares in a stock or mutual fund that have been identified by their dates of purchase. This is done in case the shareholder wishes to purchase more of the same stock or mutual fund. Most investments are taxed according to their capital appreciation since the purchase date; identified shares help avoid the possibility that all shares will be taxed as if they were bought on the same day.