please explain tax on shares to me

george4064

May I ask randm, in which form (certificates, electronically or something else?) do you hold your vodafone shares? And whom are they held with?

Apologies if this has already been considered, but have you thought about transferring the shares into a tax-free-wrapper ISA? This would save all the bother of tax returns etc.

Biggles

george4064 wrote: »

Apologies if this has already been considered, but have you thought about transferring the shares into a tax-free-wrapper ISA? This would save all the bother of tax returns etc.

You can't 'transfer shares' into an ISA. All you can put into an ISA is cash, with which you can then buy shares. And anyway, in the OP's case, it wouldn't save him any tax unless he was in CGT territory, which it doesn't sound like he's anywhere near.

george4064

Biggles wrote: »

You can't 'transfer shares' into an ISA. All you can put into an ISA is cash, with which you can then buy shares. And anyway, in the OP's case, it wouldn't save him any tax unless he was in CGT territory, which it doesn't sound like he's anywhere near.

I am well aware of the process of Bed & ISAs, I was just using 'transfer' as a generic term for it.


Also, I did specifically state it would save him the bother of tax returns rather than saving tax in itself.

gadgetmind

bowlhead99 wrote: »

checking that your smartphone made the right guess at where you were swyping.

I hear that the guy who invented predictive text has just died.

His funfair is next monkey.

randm

george4064 wrote: »

I am well aware of the process of Bed & ISAs, I was just using 'transfer' as a generic term for it.


Also, I did specifically state it would save him the bother of tax returns rather than saving tax in itself.

i'm a lady!!!!!!!!!!! it was only when i realised that i shouldn't have been paying tax on my interest as i did not have enough income to qualify that i went back the years i could and reclaimed it. as for now, i now am registered as tax exempt with the savings account. so no more forms to fill out. its just reading the statement for the tax year from the share dealing company you have a net dividend rate, a tax credit, and net dividend payable. when filling out the forms i thought the tax credit was paid to hmrc and that i would get that refunded.So what is the tax credit mentioned here???
as some have mentioned i have for example on my hmrc tax calculation the dividends down as income,£605, then tax paid £60.50.

But then below i have - less non-repayable tax £60.50.

is the tax something paid to the share company, or vodafone, and therefore not hmrc.
i actually rang the share company and they couldn't explain about dividends and tax, and the hmrc site is abysmal.

Biggles

randm wrote: »

i'm a lady!!!!!!!!!!!

Surely a lady doesn't use language like that!
;-)

its just reading the statement for the tax year from the share dealing company you have a net dividend rate, a tax credit, and net dividend payable. when filling out the forms i thought the tax credit was paid to hmrc and that i would get that refunded.So what is the tax credit mentioned here?

Actually, post #10 (Eco Miser) explains it very well. There is nothing to be claimed.