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Posted Fri, 01 Nov 2024 09:20:04 GMT by Ben Thomas
Hello, I work for an American company based on the UK. As an employee rewards, few years back I recieved stock options which were vested in the last financial year. During the process, a witholding tax of 47% were deducted and the money from the stock options process was transferred to my UK bank account. Question: 1-Which section I need to use for self assessment to declare these transactions? 2-UK and US have double taxation benefits, which shows a 15% max tax, is it possible to recliam the remainder tax paid and which section to complete for the tax reclaim? Self assessment page is like complex for an individual who have only one source of income. Please advise?
Posted Wed, 06 Nov 2024 12:10:38 GMT by HMRC Admin 21 Response
Hi,
As the payment is from your employer, the income should be shown in the employment section if it is included in your P60.
You would then claim credit for the Tax in the foreign section under 'Employment, self-employment and other income which you paid foreign tax on'.
If it is not included in your P60, please include it on the box on the employment page for 'Tips and other payments not included on your P60'. ERSM20193 advises that when RSUs payout at the market value on what is called ""dividend equivalents"" in either cash or shares, such payments will generally be taxed as earnings in the year they are received.
ERSM20193 - Employment-related securities and options: what are securities: RSUs and dividend equivalents.
Thank you.

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