Taxes and fee in UK

Ade-x1

Hello guys,

my name is Ade and this is my first post. Probably for you my question will be really stupid but I am not able to find a proper answer. I am used to buy and sell stock in Italy and I know how many taxes I have to pay if I sell my stocks while I am in gain. Now I am living in UK and I am planning to move all my stocks in the UK bank account - Barclays - in oder to sell some of those and to keep just one bank account. Can you please explain to me once I will sell those stocks which taxes or which % I have to pay? For example in Italy is the 12,5% of your gain..

Regards!

CLAPTON

Ade-x1 wrote: »

Hello guys,

my name is Ade and this is my first post. Probably for you my question will be really stupid but I am not able to find a proper answer. I am used to buy and sell stock in Italy and I know how many taxes I have to pay if I sell my stocks while I am in gain. Now I am living in UK and I am planning to move all my stocks in the UK bank account - Barclays - in oder to sell some of those and to keep just one bank account. Can you please explain to me once I will sell those stocks which taxes or which % I have to pay? For example in Italy is the 12,5% of your gain..

Regards!

I've no idea about the shares you already own

but in the UK if you buy and sell the general position is
- you are taxed on the gain when you sell
-you have a yearly cgt allowance of 11,100
-the tax rates are either 18% or 28% of the gain depending on your earned income
-there are special rules if you sell and buy the same shares back within 30 days
- if you hold the shares in an ISA (max of 15,240 per year) then they is no tax to pay on the gains when you sell

Reaper

Great answer by Clapton.

Just to clarify one thing, when he says "you have a yearly cgt allowance of 11,100" by "cgt" he means "capitals gains allowance". You are allowed to make that much of a gain in shares you sell each year without having to pay any tax on it.

There is one small additional tax called "stamp duty" which often gets applied when you buy (not sell) individual shares (not OEIC or Unit Trust funds) and is 0.5% of the purchase price. However there are some exceptions where you pay nothing - new share issues and shares listed on the AIM market spring to mind.

Ade-x1

Thank you for your really good replies!
I have some Apple, Facebook and some other stocks from different Italian's companies.
I will transfer all to my UK bank account and sell some of those.
Thank you very much!

Biggles

Ade-x1 wrote: »

I have some Apple, Facebook and some other stocks from different Italian's companies.

I will transfer all to my UK bank account and sell some of those.
Thank you very much!

Before you do that, Ade, a question: if I moved to Italy, I could leave my existing shares with my UK broker (Barclays) and buy and sell as I wished. Can you not do that?

The thing is, if you transfer stock from an Italian broker to a UK broker, there will be charges, which may include currency charges.

On the other hand, if you need to sell shares, maybe there would be other charges for transferring the cash across to your UK bank?

I don't know the answers, I just think they are questions you might possibly ask yourself?

Ade-x1

Hi and thank you for your reply!
As far as I know for incoming shares there is no fee but I will double check with Barclays.
My doubts are that if I sell everything in Italy it will be charged without any limit, then I have to move the money to my UK bank account and pay twice the change of value.

I didn't check if I can just move the shares to my Barclays account or if I need to refer to some other broker, since in Italy I can manage all my shares - buy and sell - from my bank account.

Biggles

Barclays can be expensive for some foreign-listed shares, especially non-European (eg Apple & Facebook). You might need a broker that accommodates these more readily.