CGT treatment on inherited shares

Dilbert_Investor

Does anyone know CGT is treated on inherited shares when you already hold some shares in same company?

Is CGT charged on the difference from the probate value if you sell those shares;

Or do the inherited shares become part of my existing shareholding and I have to recalculate the average purchase price to work out the CGT if I sell the inherited shares?

Thanks.

eskbanker

I believe it's the latter, i.e. inherited shares become part of the existing section 104 pool if they're identical to the ones you already have, in terms of share classes, etc, so yes, you'd need to recalculate the average acquisition cost.

Bookworm225

as above, add to the pool using probate value ("quarter up" value per IHT rules) as "cost" of that tranche for pool averaging purposes 
IHTM18093 - Stocks and shares: valuation: shares - HMRC internal manual - GOV.UK

Dilbert_Investor

Many thanks, does this apply even if held in different broker accounts?

eskbanker

Dilbert_Investor said:

Many thanks, does this apply even if held in different broker accounts?

Yes:

https://community.hmrc.gov.uk/customerforums/cgt/6f9134f8-068f-ef11-9443-6045bd0d1542