Transfer US Stock to Spouse in UK

bill_martin_3

How can I transfer US stock that I hold in a US brokerage account in my name, to my wife in the UK?

We are both UK citizens based in UK. I only hold a US Brokerage account as this is the company approved mechanism for holding shares given to employees as part of their overall compensation. Merrill Lynch have stated they can only transfer the stock into my name into a UK account.

The company is divesting on Nov 1st and will make a share distribution which if left in my name will attract 30.56% taxation. My wife is a Basic Rate tax payer and therefore would be exempt from Dividend tax

plunt

can you not just transfer them to your name in the uk and then transfer them again to her name? I know its a hassle but if thats their rules then thats their rules. besides if its a large amount then it may be worth your time!

bill_martin_3

How do I do that - which companies offer this service using what product?

plunt

depending on the amount/value it may or may not be worthwhile. Also is the company a dividend payer if so then its also something to consider. Also have you/your wife use up your ISA this year? If its substatial amounts then you could look into using I-web, halifax sharedealing, HL, best just to contact the company you select and ask them before hand (get it in writing) after your stocks are held in the uk it should be an issue to move them to your wifes name.

My best suggestion would be (if you havent use your ISA, transfer 15k directly into a stocks and shares isa and hold in your name, and then transfer the remaining into a normal share account (I-web will give you both but keep in mind there is a one off set up charge for £200 but you then get 2 accounts for that), at which point I-web should be able to transfer the remaining portion into your wifes name.

Also check out TD Direct as they may be also be helpful and lots of american companys have teamed up with them.

horace972897

Don't think you can transfer shares you already hold into an ISA..........

Hargreaves Lansdown offer the service but their fees on selling may make your mind up on if it's worthwhile (1.5% spread on non UK stocks!!!)

http://www.hl.co.uk/news/articles/common-questions-for-the-end-of-the-tax-year This link (scroll to bottom of the page for details re transfer to wife.)

plunt

bed and ISA...

horace972897

IF bed and ISA is what you were suggesting then the OP would be better to sell via ML and then use the cash to buy the shares in an ISA.