Paper shares I would like to transfer into a stocks and shares ISA

an1179

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and ISA (corrected) option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&I but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

Keep_pedalling

You can’t just transfer them, you have to sell, and, if you really want to keep holding individual shares, repurchase with your ISA. This may leave you with a CGT bill to pay.

Alexland

Unless you got these shares recently via a qualifying employer share scale scheme they will need to be sold as otherwise only cash can be contributed into an ISA wrapper.

You may want to transfer them into a general investment / share dealing account with Jarvis XO or iWeb where it may be cheaper to sell.

You may wish to stagger the sale across multiple tax years to avoid or reduce CGT liability but balance that against any tax liability the dividends may cause.

For the new ISA it's worth considering if holding shares in a single company is going to be suitable for your investment objectives.

Most people would find a more diversified portfolio using funds to be suitable.

It would be extremely unusual (nerver happens) that the regulars here would suggest investing in Aviva (or any single company) to a new investor after they have described their personal finance objectives.

eskbanker

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

Just to clarify, the process of getting shares from outside to inside an ISA is normally referred to as Bed & ISA, rather than bed & breakfast (which would typically refer to repurchasing the shares outside the ISA wrapper), so make sure you use the correct process if you decide to go ahead....

poseidon1

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

I can't see your exact question has been answered ( ie the  iweb cost to Bed and isa your Aviva shares).

Iweb like most platforms will supply you with a crest transfer form to transfer your paper  share holding to a general investment account which will be the first part of the process. Iweb should have automatically provided a GIA account with your stocks shares isa.

I assume you already know that selling Aviva in the GIA and repurchasing in your ISA may trigger a cgt liability  ( depending on your base cost) , so you may not be able to 'bed and isa' the entire holding in one go unless prepared to pay cgt in excess of your £3000 exemption.

Like you, where I drew a blank with iweb is their actual  costs for executing a 'bed  and isa ' which they can clearly do per link below .

https://www.iweb-sharedealing.co.uk/help-and-guidance/existing-customer/managing-your-isa.html#moving

As it happens I have isas and GIAs with HL and Interactive Investors. The last bed and Isa I did with II, there was  a £1 contract fee  for the investment sale , but the repurchase in the ISA attracted a £ 1 contract fee plus  £3.99 dealing commission so £4.99  to isa  repurchase, £5.99 in total .

In theory since iwebs normal dealing commissions are £ 5 per trade, I would have thought  £1 contract fee for the GIA sale and £6 combined contract fee/commission for the isa purchase would be competitive with ii.  However unlike II, iweb do not charge monthly account fees for either isa or GIA ( ii do).

Admittedly this still does not answer your iweb  query but a least you have a cost comparison from a competitor when you give iweb a ring for clarification.

Incidentally it appears trading 212 does not as yet offer  a specific bed and isa functionality.

wmb194

poseidon1 said:

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

I can't see your exact question has been answered ( ie the  iweb cost to Bed and isa your Aviva shares).

Iweb like most platforms will supply you with a crest transfer form to transfer your paper  share holding to a general investment account which will be the first part of the process. Iweb should have automatically provided a GIA account with your stocks shares isa.

I assume you already know that selling Aviva in the GIA and repurchasing in your ISA may trigger a cgt liability  ( depending on your base cost) , so you may not be able to 'bed and isa' the entire holding in one go unless prepared to pay cgt in excess of your £3000 exemption.

Like you, where I drew a blank with iweb is their actual  costs for executing a 'bed  and isa ' which they can clearly do per link below .

https://www.iweb-sharedealing.co.uk/help-and-guidance/existing-customer/managing-your-isa.html#moving

As it happens I have isas and GIAs with HL and Interactive Investors. The last bed and Isa I did with II, there was  a £1 contract fee  for the investment sale , but the repurchase in the ISA attracted a £ 1 contract fee plus  £3.99 dealing commission so £4.99  to isa  repurchase, £5.99 in total .

In theory since iwebs normal dealing commissions are £ 5 per trade, I would have thought  £1 contract fee for the GIA sale and £6 combined contract fee/commission for the isa purchase would be competitive with ii.  However unlike II, iweb do not charge monthly account fees for either isa or GIA ( ii do).

Admittedly this still does not answer your iweb  query but a least you have a cost comparison from a competitor when you give iweb a ring for clarification.

Incidentally it appears trading 212 does not as yet offer  a specific bed and isa functionality.

iWeb's fee for a bed and Isa is £5* but you need to fill in the form at the foot of this page:

 https://www.iweb-sharedealing.co.uk/help-and-guidance/sale-and-repurchase-form.html

The other benefit of iWeb is that there are no ongoing account fees.

*Plus SDRT and PTM levy if applicable.

poseidon1

wmb194 said:

poseidon1 said:

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

I can't see your exact question has been answered ( ie the  iweb cost to Bed and isa your Aviva shares).

Iweb like most platforms will supply you with a crest transfer form to transfer your paper  share holding to a general investment account which will be the first part of the process. Iweb should have automatically provided a GIA account with your stocks shares isa.

I assume you already know that selling Aviva in the GIA and repurchasing in your ISA may trigger a cgt liability  ( depending on your base cost) , so you may not be able to 'bed and isa' the entire holding in one go unless prepared to pay cgt in excess of your £3000 exemption.

Like you, where I drew a blank with iweb is their actual  costs for executing a 'bed  and isa ' which they can clearly do per link below .

https://www.iweb-sharedealing.co.uk/help-and-guidance/existing-customer/managing-your-isa.html#moving

As it happens I have isas and GIAs with HL and Interactive Investors. The last bed and Isa I did with II, there was  a £1 contract fee  for the investment sale , but the repurchase in the ISA attracted a £ 1 contract fee plus  £3.99 dealing commission so £4.99  to isa  repurchase, £5.99 in total .

In theory since iwebs normal dealing commissions are £ 5 per trade, I would have thought  £1 contract fee for the GIA sale and £6 combined contract fee/commission for the isa purchase would be competitive with ii.  However unlike II, iweb do not charge monthly account fees for either isa or GIA ( ii do).

Admittedly this still does not answer your iweb  query but a least you have a cost comparison from a competitor when you give iweb a ring for clarification.

Incidentally it appears trading 212 does not as yet offer  a specific bed and isa functionality.

iWeb's fee for a bed and Isa is £5* but you need to fill in the form at the foot of this page:

 https://www.iweb-sharedealing.co.uk/help-and-guidance/sale-and-repurchase-form.html

The other benefit of iWeb is that there are no ongoing account fees.

*Plus SDRT and PTM levy if applicable.

Some good points here especially with regard to the mis match between number of shares sold against the repurchased number reacquired due to price spread and charges.

In my case I 'lost' 32 shares at 0.85p per share due to the effect of charges and reduced spread between shares sold at 0.85p and lesser number of shares repurchased at 0.851p. All in all a further £27. 20 monetary leakage when the dust settled on my £18,000 bed and isa excercise - i am not complaining.

However the higher price of Aviva and iweb charging their commission on the sale rather than repurchase will give rise to a 'leakage' which may or may not be mitigated depending on how iweb handles the price spread. Regardless, can't see any reason why the OP should not explore the iweb option. He could always see if they could do an estimated calculation on a ' what if ' basis. I recall HL doing something similar for a relative exploring the same opportunity with them..

wmb194

poseidon1 said:

wmb194 said:

poseidon1 said:

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

I can't see your exact question has been answered ( ie the  iweb cost to Bed and isa your Aviva shares).

Iweb like most platforms will supply you with a crest transfer form to transfer your paper  share holding to a general investment account which will be the first part of the process. Iweb should have automatically provided a GIA account with your stocks shares isa.

I assume you already know that selling Aviva in the GIA and repurchasing in your ISA may trigger a cgt liability  ( depending on your base cost) , so you may not be able to 'bed and isa' the entire holding in one go unless prepared to pay cgt in excess of your £3000 exemption.

Like you, where I drew a blank with iweb is their actual  costs for executing a 'bed  and isa ' which they can clearly do per link below .

https://www.iweb-sharedealing.co.uk/help-and-guidance/existing-customer/managing-your-isa.html#moving

As it happens I have isas and GIAs with HL and Interactive Investors. The last bed and Isa I did with II, there was  a £1 contract fee  for the investment sale , but the repurchase in the ISA attracted a £ 1 contract fee plus  £3.99 dealing commission so £4.99  to isa  repurchase, £5.99 in total .

In theory since iwebs normal dealing commissions are £ 5 per trade, I would have thought  £1 contract fee for the GIA sale and £6 combined contract fee/commission for the isa purchase would be competitive with ii.  However unlike II, iweb do not charge monthly account fees for either isa or GIA ( ii do).

Admittedly this still does not answer your iweb  query but a least you have a cost comparison from a competitor when you give iweb a ring for clarification.

Incidentally it appears trading 212 does not as yet offer  a specific bed and isa functionality.

iWeb's fee for a bed and Isa is £5* but you need to fill in the form at the foot of this page:

 https://www.iweb-sharedealing.co.uk/help-and-guidance/sale-and-repurchase-form.html

The other benefit of iWeb is that there are no ongoing account fees.

*Plus SDRT and PTM levy if applicable.

Some good points here especially with regard to the mis match between number of shares sold against the repurchased number reacquired due to price spread and charges.

In my case I 'lost' 32 shares at 0.85p per share due to the effect of charges and reduced spread between shares sold at 0.85p and lesser number of shares repurchased at 0.851p. All in all a further £27. 20 monetary leakage when the dust settled on my £18,000 bed and isa excercise - i am not complaining.

However the higher price of Aviva and iweb charging their commission on the sale rather than repurchase will give rise to a 'leakage' which may or may not be mitigated depending on how iweb handles the price spread. Regardless, can't see any reason why the OP should not explore the iweb option. He could always see if they could do an estimated calculation on a ' what if ' basis. I recall HL doing something similar for a relative exploring the same opportunity with them..

Aviva usually has a tight bid/offer spread so I wouldn't worry too much about that, it's paying the 0.5% stamp duty again that would put me off but I guess it's about weighing up the pros and cons of GIAs vs ISAs and deciding whether it's worth the price. 

poseidon1

wmb194 said:

poseidon1 said:

wmb194 said:

poseidon1 said:

an1179 said:

I have Aviva paper shares held by Computershare 

I would like to move the shares to electronic shares and in the tax year 2025/26 transfer into a stocks and shares ISA using the bed and breakfast option (I have used this tax year ISA allowance)

I have two stocks and share ISA’s IWeb and Trading 212. IWeb offer B&B but no mention of costs. Are IWeb the best way forward or should I use a new provider?

TIA

I can't see your exact question has been answered ( ie the  iweb cost to Bed and isa your Aviva shares).

Iweb like most platforms will supply you with a crest transfer form to transfer your paper  share holding to a general investment account which will be the first part of the process. Iweb should have automatically provided a GIA account with your stocks shares isa.

I assume you already know that selling Aviva in the GIA and repurchasing in your ISA may trigger a cgt liability  ( depending on your base cost) , so you may not be able to 'bed and isa' the entire holding in one go unless prepared to pay cgt in excess of your £3000 exemption.

Like you, where I drew a blank with iweb is their actual  costs for executing a 'bed  and isa ' which they can clearly do per link below .

https://www.iweb-sharedealing.co.uk/help-and-guidance/existing-customer/managing-your-isa.html#moving

As it happens I have isas and GIAs with HL and Interactive Investors. The last bed and Isa I did with II, there was  a £1 contract fee  for the investment sale , but the repurchase in the ISA attracted a £ 1 contract fee plus  £3.99 dealing commission so £4.99  to isa  repurchase, £5.99 in total .

In theory since iwebs normal dealing commissions are £ 5 per trade, I would have thought  £1 contract fee for the GIA sale and £6 combined contract fee/commission for the isa purchase would be competitive with ii.  However unlike II, iweb do not charge monthly account fees for either isa or GIA ( ii do).

Admittedly this still does not answer your iweb  query but a least you have a cost comparison from a competitor when you give iweb a ring for clarification.

Incidentally it appears trading 212 does not as yet offer  a specific bed and isa functionality.

iWeb's fee for a bed and Isa is £5* but you need to fill in the form at the foot of this page:

 https://www.iweb-sharedealing.co.uk/help-and-guidance/sale-and-repurchase-form.html

The other benefit of iWeb is that there are no ongoing account fees.

*Plus SDRT and PTM levy if applicable.

Some good points here especially with regard to the mis match between number of shares sold against the repurchased number reacquired due to price spread and charges.

In my case I 'lost' 32 shares at 0.85p per share due to the effect of charges and reduced spread between shares sold at 0.85p and lesser number of shares repurchased at 0.851p. All in all a further £27. 20 monetary leakage when the dust settled on my £18,000 bed and isa excercise - i am not complaining.

However the higher price of Aviva and iweb charging their commission on the sale rather than repurchase will give rise to a 'leakage' which may or may not be mitigated depending on how iweb handles the price spread. Regardless, can't see any reason why the OP should not explore the iweb option. He could always see if they could do an estimated calculation on a ' what if ' basis. I recall HL doing something similar for a relative exploring the same opportunity with them..

Aviva usually has a tight bid/offer spread so I wouldn't worry too much about that, it's paying the 0.5% stamp duty again that would put me off but I guess it's about weighing up the pros and cons of GIAs vs ISAs and deciding whether it's worth the price. 

Yes it's all relative.

 I would have gone ahead even if total costs were £50. The investment in my case  generates average  £115 per month dividends, taxable at 40% so sheltering and massively improving the net return from that income source was a no brainer.

an1179

Thank you all for the information I have another question.  What is the benefit to Bed and ISA as opposed to selling the shares and re-purchase in an ISA?

I’m not sure whether capital gains will apply,  at a guess I would think capital loss would apply as I have shares I paid £8 for as they are paper I would have to calculate. I did ask Computershare my total holdings but they said I had to pay they for that information!

wmb194

an1179 said:

Thank you all for the information I have another question.  What is the benefit to Bed and ISA as opposed to selling the shares and re-purchase in an ISA?

I’m not sure whether capital gains will apply,  at a guess I would think capital loss would apply as I have shares I paid £8 for as they are paper I would have to calculate. I did ask Computershare my total holdings but they said I had to pay they for that information!

You can do it manually and the effect is the same but with iWeb's process you'd save £5, you save the need to request the transfer of the cash from the Gia to the Isa and the sale and repurchase would happen, it says, close to simultaneously. 

Your certificate(s) don't give you your total holdings? It's strange that you say Computershare wants to change you to know your holding: is it saying you need to pay for a replacement certificate? How old is your certificate? Aviva had a 19 for 25 share split on 16/05/22 and you should have been issued a new certificate.

https://www.aviva.com/newsroom/news-releases/2022/03/proposed-return-of-capital-to-shareholders/

https://www.aviva.com/investors/managing-your-shares-faq/#return-of-capital

https://static.aviva.io/content/dam/aviva-corporate/documents/investors/pdfs/credit-investors/Circular.pdf