Is this possible re shares and transfer

markwilkinson

Evening all.

I know I don't post much, but am looking for some advice or, at the very least a yes or no answer to my first question.

Bit of a story, have been self employed for most of my life but got credit crunched in 2009 and since then been working for a FTSE 100 company. I have numerous share save schemes running with them but also a share purchase plan. Under this scheme I have to keep the purchased shares for 5 years before they become tax free. I want to start transfering these shares to my wife's ISA. As far as I can glean I can only do this through the "bed and ISA" process. Is this true? Shares are held with Computershare. I had hoped that they could issue a share certificate which could then ( with a fee) be transferred into an ISA. Is this right?

Second question, as above, shares are held electronically with computershare, what's the easiest way of transferring some to my wife's name, preferably without having to sell and rebuy?

markwilkinson

Sorry, I should have been clearer, I meant transferring the shares 5 years and older.

DesG

markwilkinson wrote: »

I want to start transfering these shares to my wife's ISA. As far as I can glean I can only do this through the "bed and ISA" process. Is this true?

Yes, it is true, you cannot transfer shares into an ISA no matter what form they are in, government restriction.

(Apart from an ISA to ISA transfer obviously)

Eco_Miser

DesG wrote: »

Yes, it is true, you cannot transfer shares into an ISA no matter what form they are in, government restriction.

(Apart from an ISA to ISA transfer obviously)

There is one exception, I believe, certain share save schemes, but not the share purchase plan.
I'm just parroting this from other posts here, please check elsewhere for details.

DesG

Eco_Miser wrote: »

There is one exception, I believe, certain share save schemes, but not the share purchase plan.
I'm just parroting this from other posts here, please check elsewhere for details.

Thanks, yes, I forgot about those.

Share Save/Save As You Earn (SAYE) 90 days to transfer into an ISA in your own name.

Vortigern

markwilkinson wrote: »

Under this scheme I have to keep the purchased shares for 5 years before they become tax free.

I was in a similar scheme (employee share incentive plan) where the rules allow the shares to remain in the ESIP after the initial 5 years. This was for shares bought from gross (pre-tax) pay - which differs from Sharesave plans.

While the shares remain in the plan, they are free from capital gains tax and also free from taxation of the dividends.

Look up the scheme rules with your employer, and also check HMRC rules for employee shares on gov.uk

If the shares can stay tax-free within the plan there is little point in paying a bed and ISA fee to transfer them to your wife.

markwilkinson

Thank you all!