Selling Shares

[kbhogalW126]

Share Selling Queries

I hope someone can help out.

I'm getting some shares in January as part of a sharesave deal my employer has.

At present they are worth around £12000.

Now, I have some questions:

1: What value of shares am I allowed in any given tax year without having to pay any tax? S0meone told me it was about £6000 worth.

2: If it is £6000 worth a year could I, in theory, sell £6k worth in March, and 6K worth in late April/May (after the new tax year) to avoid paying tax?

I hope someone can advise!

Thanks in adavnce,

KJ

 

[Robbo]

its only when you sell shares that you are potentially liable for tax. You can hold as many shares as you like with no tax libility. However if you sell shares and make a capital gain (ie a profit) of over a certain amount (not sure exactly what it is now but around £8K) in any given tax year then you are liable to pay capital gains tax. now if your shares are worth £12K then it would be unlikely that your total profit will exceed the capital gains tax threshold (unless they have really shot up in value) so you are probably OK with selling them all in one go.

Probably worth seeking help from a financial adviser or tax specialist to be sure though