MeroShare
How to calculate and update WACC in MeroShare.
WACC is the average price you actually paid for a share. MeroShare needs it before you can sell, and if it is wrong you pay more capital gains tax than you owe. Here is what it means and the exact steps to set it.
5 min read · Updated · 26 August 2026
The short answer
WACC is your average buying price for one share of a company. Log in to MeroShare, open My Purchase Source, pick the scrip, confirm where each lot came from and what you paid, and click update. MeroShare works out the average and stores it. Do this before you place a sell order, not after.
What WACC actually means
WACC stands for weighted average cost of capital. The name is heavier than the idea. It is simply: total money you spent on a scrip, divided by the total number of shares you hold of it.
Say you bought 100 shares at Rs 400, then months later 100 more at Rs 600. You spent Rs 1,00,000 for 200 shares. Your WACC is Rs 500. Not Rs 400, not Rs 600, and not whichever price you happen to remember.
“Weighted” matters when the lot sizes differ. Ten shares at Rs 1,000 and 990 shares at Rs 100 does not average to Rs 550 — the big lot pulls it down to about Rs 109. The quantity carries as much weight as the price.
Why the number decides your tax bill
Capital gains tax in Nepal is charged on your gain, not on your sale value. The gain is what you sold for, minus what you paid, minus the fees. Your recorded WACC is the “what you paid” half of that sum.
For a resident individual selling listed shares from mid-July 2026 (FY 2083/84), the rate is 10% if you held for 365 days or less and 7.5% if you held longer. The tax is deducted at source at settlement, which is why the figure has to be right beforehand: nobody asks you to confirm it at the moment of sale.
If your WACC is recorded lower than what you truly paid, your gain looks bigger than it is and you are taxed on the difference. That money is gone until you chase it back through your broker and the tax office.
How to update WACC, step by step
- Log in to MeroShare with your DP, username and password.
- Open My Purchase Source from the left menu.
- Search for the scrip you plan to sell.
- Tick the holdings shown and confirm the source of each lot — IPO, secondary market purchase, bonus, rights, or transfer — and the price paid.
- Click Proceed, accept the declaration, then Update.
- MeroShare calculates and stores your WACC for that scrip. Check the figure against your own records before you move on.
To see how long you have held a scrip, use My Holding in the same section. It shows the holding period in days and whether that puts you in the short-term or long-term tax bracket — which is often worth knowing before you decide to sell at all.
Bonus and rights shares change your WACC
A bonus issue hands you extra shares without you paying anything more. Same total cost, more shares, so your average cost per share falls.
Rights shares work the same way at whatever price you paid to take them up, usually the Rs 100 face value. If you do not record them, MeroShare is missing part of your holding and the average is wrong.
Both are common in Nepal — most banks, hydropower companies and microfinance institutions distribute bonus shares regularly — so this is not an edge case. Read more in our guide to bonus shares versus rights shares.
Common mistake to avoid
Leaving WACC until the day you sell. The sale and the settlement paperwork run on a clock. Working out a cost basis for a scrip you have accumulated over three years, while also completing the EDIS transfer inside the deadline, is how mistakes get made. Set the WACC the day you decide to sell, or simply keep it updated whenever you buy.
Pro tip
Work out the number yourself first, then check it against what MeroShare produces. If the two disagree, one of your purchase sources is wrong, and it is far easier to find that out now than after the tax has been deducted. Our NEPSE calculators will do the buy cost, the sell proceeds and the capital gains tax for you, using the same fee engine as the Punji app.
What comes next
Updating WACC is step one. Once you have actually sold, you have to move the shares to your broker through EDIS, and that step has a deadline with a penalty attached. That is covered in the EDIS guide.
Common questions
Answered plainly.
WACC stands for weighted average cost of capital. In MeroShare it means one thing: the average price you actually paid for one share of a scrip, across every lot you bought. If you bought 100 shares at Rs 400 and later 100 more at Rs 600, your WACC is Rs 500. CDSC uses this number to work out your profit when you sell, and your capital gains tax is calculated from it.
Because your broker cannot complete the sale without it. WACC is what tells the system your cost price. If it is missing or wrong, the capital gains tax deducted at settlement is calculated on the wrong figure, and you either overpay tax or have to chase a correction afterwards. Updating it takes about a minute and it only has to be done once per scrip.
You pay more tax than you owe. Capital gains tax is charged on the difference between your sale proceeds and your cost, so a cost price recorded lower than what you really paid inflates the taxable gain. The tax is deducted at source at settlement, so it comes out automatically. Getting it back means going through your broker and the tax office, which is far more work than checking the number first.
From your own purchase history plus what you enter. Shares bought through the market carry their transaction record, but shares from IPOs, bonus issues, rights issues and transfers often need the source and price confirmed by you under My Purchase Source. Anything the system cannot see, you supply.
Yes, and downward. A bonus issue gives you more shares for the same money, so the same total cost now spreads across a larger quantity and your average cost per share falls. Rights shares do the same thing at whatever price you paid for the rights. Both need to be reflected in your purchase source or your recorded cost will be higher than it should be.
Read next
The rest of the guide.
- EDIS in MeroShare: transferring shares after you sellSelling on the TMS is half the job. The transfer, the T+2 clock, and the penalty for missing the deadline.
- Right shares in Nepal: how to apply, and what happens if you don'tThe ratio, the book closure price adjustment, the application flow, and the auction of unsold rights.
- Promoter shares vs ordinary shares in NepalWhy two share classes of one company trade at different prices: the three-year lock-in and the transfer rules.
- How to start a SIP in NepalA fixed amount into a mutual fund every month. How to set one up, what it costs, and what it does not protect you from.
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