We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Is Capital Gains applicable?

Options
Advice on employee shares and Capital Gains Tax please!

I was previously employed by the UK subsidiary of a US company and, as part of my annual reviews, I was awarded a number of shares each year.

The shares are in a scheme (possibly an ESPP?)that is managed by Morgan Stanley who have:
  • Withheld a proportion of shares for tax whenever shares have vested
  • Withheld a proportion of dividends for tax each quarter (remainder of dividends are reinvested)
I have also completed W-8BEN tax forms as necessary.

My understanding is that I shouldn't have to pay any additional tax. Is that correct or will I have to pay Capital Gains Tax?

I've never cashed in these shares and they've sat there for the past 10+ years. I'm now at the stage of nearing retirement (next 5 years) and not sure how to release the fund without a large tax bill.

TIA

Comments

Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.