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Posted Sat, 16 Dec 2023 15:36:26 GMT by
Hello, I receive shares from my company as RSU (restrictive stock units) and employee stock purshase plan (ESPP). With the update to the capital gain tax allowance reducing I started looking at my profit/loss when receiving/selling shares and I have a couple of questions I couldn't find an answer online. 1. Capital gain loss. Assuming a Tax-free allowance of £6k. * Year 1 I sold shares and made £4k loss. * Year 2 I sold shares and made £2k profit * Year 3 I sell shares and make £10k profit Can the 4k loss be used for year 3 only given that profit made in year 2 < £6k hence covered by tax free allowance. Or will it be only 2k loss used for year 3 as year 2 automatically inherits year 1 loss and I will have to pay CGT on £2k 2. Merger of company. My company was bought by another company and for every share of my old company I got 1.7 shares of the new company. Before the merger the pool price (Section 104 holding) for my shares was £A.
On the day of the merger, the share price of the new company was £B. After the merger would the pool price for the new shares be: * The share price of the new company on the day of close, i.e £B? * Or The share price of the new company on the day of close with the multiplier, ie £B/1.7 * Or stays at £A? 3. All new shares once received (ESPP or RSU) are not sold and transferred to a shares joint account (husband and wife). Every time we sell shares on this account, tax free allowance is x2 right? As it's considered both parties selling shares? 4. To calculate profit on RSU using the first option (disposed of them when received). I receive the shares on day 1 but they're not available to sell until day 2. If I sell them on day 2, is the profit calculated on the price difference on day 2 (disposed when received), or is part of S104 holdings? Many thanks for the help Kind regards, papy07
Posted Wed, 20 Dec 2023 16:19:59 GMT by HMRC Admin 25 Response
Hi Jean Paul,
HMRC cannot comment on hypothetical scanrios.
Please refer to guidance here: 
Shares and Capital Gains Tax (Self Assessment helpsheet HS284)
Capital Gains Tax, share reorganisations and company takeovers (Self Assessment helpsheet HS285)
For more definitve answers you would need to contact us by phone here:
Self Assessment: general enquiries
Or speak to a financial adviser.
Thank you. 
 

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