Audit and Accountancy
Share Transfers
Shares in a private or unlimited company are usually transferred by private agreement between the seller and buyer, subject to the company's own rules and approval of the directors. Shares in a listed company are transferred through brokers using the Stock Exchange Crest system. Stamp Duty is payable when you transfer shares. Gains made on shares may be subject to Capital Gains Tax (CGT) In certain cases, shares are transmitted by law. This means that in the event that a shareholder dies or becomes bankrupt the shares and the rights associated with the shares are given to a personal representative or executor. Shares transfer can be a complex issue and specialist advice it always the best course of action to ensure effective tax planning.
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21st July 2010
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