Tax calculations when Selling Shares

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Emma Alexander

If I have bought a bunch of shares over time, ie. in an employee share scheme, when it comes to selling them, how do I know which shares are sold first? For example, if my early shares were expensive, and later my shares were cheap, and now I want to sell some of my shares at a price somewhat in the middle… am I making a capital gain or loss for tax purposes? How do we work that out?