Nikki

Hi, I hold shares as part of my employment compensation in the ultimate parent company which is listed on the US stock market. They recently divested a subsidiary and shareholders were awarded shares in the divested company once it was spun out of the group. I have read HS285 share reorganisations but are you able to confirm that if a UK tax payer holds shares in a US company and is given shares in the company they divest whether this will be treated as a capital gain when the shares that were awarded are sold or if it is treated as income when the shares are awarded at the share price on the date the shares were acquired. At sale I would assume any gain would then be subject to Capital Gains Tax. Thanks for your help.