does anyone have any vodafone shares? if so do you understand the paperwork??

crispeater

a few weeks ago i was sent some paperwork about my vodafone shares but they all talk gibberish to me. can someone please enlighten me? i am a bit dense sometimes.






ok most of the time :rolleyes:

thanks

Chrismaths

To cut a medium length story short, Vodafone are returning capital of 15p per share to you, and have given you 3 options so you can do some tax planning. The default option (ie what will happen if you do nothing) is that you will be paid 15p as a capital distribution. This will not be taxable unless you realise total gains this year of over £8800 (including the voda distribution). The second option is to take a dividend of 15p - which will have no further tax to pay unless you are a higher rate taxpayer, or on means tested benefits. The third option is to delay the payment of 15p into the future, which is useful if you are a higher rate taxpayer AND have used your CGT exemption AND expect EITHER to be a basic rate taxpayer in the next few years OR not to use your CGT exemption in the next few years.

Simple eh? Basic moral - if not a HR taxpayer/used CGT exemption, take option 1/do nothing.

crispeater

thank you soo much!!

i do wish they would speak in simple terms for the likes of me that cant make head nor tail of these things lol

i will sit back and take op 1 thanks again

saver_sam

I think they talked about this on fridays working lunch which you can view via their website as they had people complaining that the paperwork/information was gibberish

Chrismaths

Oh, I forgot to say, at the same time they are also consolidating the shares - For every 8 old shares you held, you now hold 7 new shares. This just keeps the price similar to what it was before - so don't be surprised when you look at your account and you now only have (eg) 700 shares instead of 800.