How does personal taxation work on sale of company shares (London)?

Hey,

So I received some stock as part of my compensation and wondered how it is dealt with by HMRC. Let's say I received £6k of stock and I immediately sell, do I then have £6k of capital gains to report? What tax-rate am I paying on this?

Not entirely sure of the tax-code here and hoped someone with some experience could help.

Thanks in advance!

WSO Elite Modeling Package

  • 6 courses to mastery: Excel, Financial Statement, LBO, M&A, Valuation and DCF
  • Elite instructors from top BB investment banks and private equity megafunds
  • Includes Company DB + Video Library Access (1 year)

Comments (2)

Aug 29, 2021 - 4:59am

You need to talk to a tax advisor, likely most of your colleagues have one, I'd ask them for an intro.

The tax implications are different if the company is un/listed, the length of the holding period, if the shares are issued as part of a Share Incentive Plan or otherwise assumed purchased with your salary etc.

I know I haven't answered the question but it would be unfair for me to do it.

Aug 29, 2021 - 6:26am

Et adipisci nihil inventore qui sint. Dolor blanditiis dolorum ipsam.

Fuga molestiae sed possimus id esse. Debitis rerum nihil natus voluptatem harum impedit. Sapiente placeat tempore nesciunt iure autem. Nihil doloremque labore quae error mollitia eum rerum.

Start Discussion

Total Avg Compensation

September 2021 Investment Banking

  • Director/MD (10) $853
  • Vice President (39) $363
  • Associates (220) $232
  • 2nd Year Analyst (135) $154
  • 3rd+ Year Analyst (30) $147
  • Intern/Summer Associate (103) $143
  • 1st Year Analyst (489) $135
  • Intern/Summer Analyst (378) $82