Moving Shares from GIA to S&S ISA

NewPieman

Hi all – I have shares in an old employer, which were bought on a monthly basis through an Employee share scheme. Often my purchase was fractional share amounts. I was in the scheme for a good number of years and as part of the scheme received “Matching Shares” which have all had their minimum holding time. These shares are all in a GIA, I want to move them across to a S&S ISA (Yes I know I should have considered this in previous years).

I have managed to obtain an export from the Broker at the time with all the purchases with Cost Basis etc. My original thinking was to “Bed & ISA” a particular number of shares which would be a total sale of approx £2900 – this would mean I would definitely be under the CGT Thresholds, but I was thinking I could do more now I have this data.

Is my thinking correct here?

16 shares - based on First In First out would cover Purchases from Period A to Period B inclusive - this is around 45 transactions.

Average Cost Basis: £45.97 (selected all 45 transactions and Excel gave me the Average of the Cost Basis cells for my selection)
If sold today: Selling Price: £177.15

Gain per share : 131.18 (Selling price minus Average cost base for the selection) - TOTAL: 2098.88 (Gain x 16)

Therefore to stay within the £3000 CGT limits (3000/131) = 22.9 …….so I could in theory Bed & ISA 22 shares (Period A to Period C) and still be within the limit (assuming the Average Cost Basis for 22 shares is similar).

Is my thinking / process correct?

leosayer

The HMRC web page below gives helpful information and a calculator:

https://www.gov.uk/tax-sell-shares/work-out-your-gain

I'm not sure that CGT calcs use FIFO any more - isn't it all just average price now?

NewPieman

Thanks for that - clicking through and reading this: https://www.gov.uk/tax-sell-shares/same-company about Same company shares it looks that I do use the Average Price then but not for just the ones I was selling (FIFO) but the whole lot…

This by the looks of what I have left takes the Average to £95…….so it seems to work out to be "about" £82 gain per share, which would mean I could "Bed & ISA" more.

RacingDriver

CGT is based on average, not FIFO, look up "Section 104 pool"

NewPieman

Thank you - aha so the holding size is reduced down as to what is left………

eskbanker

Average Cost Basis: £45.97 (selected all 45 transactions and Excel gave me the Average of the Cost Basis cells for my selection)

Not sure exactly what you've done but just to be clear, it needs to be a weighted average, i.e. total cost divided by total units, rather than a simple average of unit costs.

NewPieman

https://forums.moneysavingexpert.com/discussion/comment/81957362#Comment_81957362

Thanks - I think I now realise that after reading through some of the other links provided…….so look at the whole holding….