Capital gain calculations

I sold shares trading in foreign currency. 2-3 weeks later I converted proceeds from this sale into GBP. Should I use the FX rate from this conversion when calculating capital gain or should it the FX spot rate on the date of the sale?

Pls revert on this question. Let's take a numerical example: I bought shares trading in CHF for GBP 90 equivalent. I then sell the shares for CHF 110. Then, 3 weeks later, I convert these proceeds into GBP at 1.1 GBP/CHF FX rate, thereby resulting in GBP 100. Can I use this FX rate in my capital gain calculations (even though there was a 3 week delay in conversion of proceeds into GBP)? I know that HMRC publishes monthly exchange rates that can be used, but it would make more sense to use the actual conversion rate. Let me know your thoughts

Hi
CG78310 advises that the acquisition cost of the shares is the sterling equivalent of the foreign currency at the exchange rate in force at the date of acquisition of the shares and the consideration for disposal of the asset is the sterling value of the shares received in exchange.  
Under the terms of self assessment, we do not provide an official exchange rate and the onus is on the individual to use a just and reasonable exchange rate for each acquisition and disposal.  
You may wish to use any of the rate held atEarnings paid in foreign currency or the FX rate.

If I understood correctly, the FX rate needs to be as of the date of the sale, right (the link that you suggeated doesn't unfortunately)? Do I then need to separately calculate capital gain or loss from FX conversion of CHF proceeds into GBP that I made 3 weeks later?

Could pls revert on this? Let's use the same example: I bought shares trading in CHF for GBP 90 equivalent. I then sell the shares for CHF 110. Let's say BoE FX rate on the date of the sale was 1.1, so I use that FX rate to calculate capital gain from the sale of the shares: 110/1.1 minus 100 = GBP 10 capital gain. Then, 3 weeks later FX spot rate changed. I convert sale proceeds into GBP at 1.2 GBP/CHF FX rate. At this FX rate i made capital loss relative to the BoE FX rate I used in the calculations for capital gain from sale of shares: 110/1.2 minus 100 = - CHF 8.3 capital loss on FX conversion. Can I use capital loss I made on FX conversion to reduce / off-set capital gain from the sale of the shares? Would your answer change if instead of a capital loss on FX, it was an implied capital gain from FX conversion (i.e. when actual conversion into GBP is done at a better rate)? Would appreciate if you could give a concrete answer to this specific example.

Hi,

Yes, the FX rate would be the rate that applied on the date of the sale and yes, you would need to separately calculate the gain or loss on the subsequent conversion of CHF proceeds into GBP.

Thank you.

Hi andy1,
Although HMRC provide exchange rates at:
Exchange rates from HMRC in CSV and XML format
Under the terms of Self Assessment, we do not provide an official exchange rate and the onus is on the individual to use a just and reasonable exchange rate for each acquisition and disposal.
You can use those exchange rates, the closing rate of the London stock exchange on the day of the transaction, or from any other source, as long as it is a just and reasonable exchange rate for each acquisition and disposal.
Thank you.