Capital Gains Tax on Shares & Sharesave
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✓ Sharesave & employee shares✓ Takeovers & cash offers✓ Reported to HMRC for you
Sold shares, cashed in a Sharesave scheme or your employer is being taken over? We’ll work out the tax.
We calculate your gain correctly – including Sharesave and shares bought over many years – check the reliefs and allowances you can use, and report it to HMRC on your tax return.
Free initial call. Fixed-fee quote for the calculation and tax return.
When do you pay Capital Gains Tax on shares?
You may need to pay Capital Gains Tax (CGT) when you sell, give away or swap shares – including when a company you hold shares in is bought by another company for cash.
- The gain is roughly what you received minus what the shares cost you.
- Everyone has a £3,000 tax-free allowance for gains each tax year.
- Gains on shares above that are taxed at 18% if they fall within your basic-rate band and 24% above it, so your other income matters.
- If your total sale proceeds are over £50,000, you must report the sale to HMRC even if there is little or no tax to pay.
Gains are usually reported on your Self Assessment tax return, due by 31 January after the end of the tax year.
Sharesave (SAYE) and employee shares
Sharesave lets you save from your salary for 3 or 5 years and then buy your employer’s shares at a fixed, discounted price. Buying the shares is normally free of Income Tax and National Insurance – but when you sell them, the rise in value since you bought them is a capital gain.
If your employer is taken over, you may be able to buy your Sharesave shares early, using the savings you have built up so far. The takeover then usually counts as selling them.
We work out the right cost for each scheme, combine it correctly with any other shares you hold under HMRC’s “share pooling” rules, and make sure nothing is taxed twice.
Ways you may be able to reduce the tax
- Your spouse or civil partner: shares can be transferred between you without tax, so both allowances and basic-rate bands can be used.
- Pension contributions: paying into a personal pension can extend your basic-rate band, so more of the gain is taxed at 18%.
- ISA transfer: Sharesave shares can be moved into a Stocks & Shares ISA within 90 days of buying them, up to your ISA allowance.
- Losses: losses on other shares can be set against your gains.
- Timing: spreading sales across tax years can make use of more than one annual allowance.
Which of these suit you depends on your figures – we’ll go through them with you. We explain the tax position only; we don’t advise on whether to buy, sell or hold investments.
What we do for you
- Free initial call to understand your shares and your other income.
- Gather your records – Sharesave statements, share account history and any takeover letters.
- Calculate your gain for each holding and the tax due, using every allowance you’re entitled to.
- Prepare and file your Self Assessment tax return, and tell you exactly how much to pay and when.
Frequently asked questions
My company is being taken over – do I have to pay tax?
If you receive cash for your shares, it usually counts as a sale for Capital Gains Tax. Whether tax is due depends on your gain, your allowance and your other income.
I don’t normally fill in a tax return – do I need to now?
Usually yes, if you have a taxable gain or your sale proceeds are over £50,000. We can register you with HMRC and file the return for you.
I’ve bought and sold shares over many years and don’t have all the records. Can you help?
Yes. Your share plan administrator or broker can usually provide a full history, and we’ll work through it with you.
How much does it cost?
The first call is free. After that we give you a fixed-fee quote for the calculation and tax return, based on how many holdings and transactions you have.
What Our Clients Say
5.0 ★ rated on Google by local sole traders, landlords and small business owners.
Get Your Share Sale Tax Sorted – Fixed-Fee Quote
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