Overseas Taxpayer

Many thanks for your reply. Just for the avoidance of any doubt can you please confirm that I have properly understood as I have a few demergers (spinoffs) to work through. The cost values are converted to sterling for the time of acquisition and then those sterling values are used for subsequent calculations of the cost. Only on disposal is a new conversion required in order to obtain the sterling value of the proceeds.

Can I just take the dollar figure for the cost as supplied by my stockbroker, use the exchange rate at the time of initial purchase and then the rate at time of disposal and ignore the effect of different exchange rates between these times?

Could I ask that you expand on this answer please? "You will need to convert the purchase price and costs to pounds sterling, using the exchange rate at the time of purchase. You will also need to convert the disposal value and costs to pounds sterling" Presumably the sterling cost is calculated at the exchange rate at the time of purchase and then at the different rate for time of disposal? The gain will be the difference between the sterling value on sale less the sterling value at purchase? But what if there have been other capital transactions between the time of acquisition and sale. My US stockbroker shows on the statements the new capital costs allocated to holdings after a partial sale or a spinoff, merger etc. Do these need to be adjusted into sterling too? I have held many US stocks for long periods whilst non-resident and so the capital changes before becoming UK tax resident wouldn't be declarable in the UK. If I need to adjust for the exchange rates throughout then the actual sterling cost will change. A lot easier if I can just take the dollar figure for the cost as supplied by my stockbroker, use the exchange rate at the time of initial purchase and then the rate at time of disposal and ignore the effect of different exchange rates between these times. Is this approach acceptable to HMRC?