Selling Shares

Tattie63

I have company shares that I have held for some years.I recently retired.
I have a monthly dividend from my pension.To the value of 12k.
Can I sell the shares without any tax implications?
Is there a maximum value ?
Do I transfer over to my wife ?
Or family members?

eskbanker

Unless the shares are held within a tax wrapper such as an ISA, then selling them will be subject to Capital Gains Tax, based on the growth in their value over the time you've held them, although you do have an annual allowance of £6K (£3K from April) and can also transfer some to your wife to use her allowance too.

https://www.gov.uk/capital-gains-tax
https://www.gov.uk/tax-sell-shares

mexican_dave

Yes, Capital Gains Tax (CGT) is being reduced, if you act quickly you can take advantage of the £6k allowance before 6th April 2024. Not sure if you can transfer to your wife and sell quickly (both you & her, 2 x £6k CGT allowance = £12k) without breaking some HMRC rule. Does anyone else know the answer?

eskbanker

mexican_dave said:

Yes, Capital Gains Tax (CGT) is being reduced

CGT isn't being reduced, but the annual allowance is, which has the effect of increasing CGT.

mexican_dave said:

Not sure if you can transfer to your wife and sell quickly (both you & her, 2 x £6k CGT allowance = £12k) without breaking some HMRC rule. Does anyone else know the answer?

No rules about minimum holding time, so no problem with transferring and then selling as quickly as the relevant platform(s) can cope with.

UncleK

You can transfer shares (and anything else) to your spouse with no tax implications AFAIK. I have done so to make the most of her tax breaks several times

Tattie63

That’s great information,so answer is split 6k to myself and 6k to wife if need be.

eskbanker

Tattie63 said:

That’s great information,so answer is split 6k to myself and 6k to wife if need be.

Yes, remembering that it's £6K of gains rather than £6K of current value....

Farway

eskbanker said:

Tattie63 said:

That’s great information,so answer is split 6k to myself and 6k to wife if need be.

Yes, remembering that it's £6K of gains rather than £6K of current value....

And remember the CG allowance reduces further to £3000 the following year 2024 / 25

Tattie63

The information is of great help.Than you all