CGT on Rolla Royce privatisation Shares

by **landlord1234** on Sat Jan 21, 2012 11:04 pm

I acquired 150 Rolls Royce shares when the company was privatised in 1987.

I'm struggling to find paperwork from then, but I believe the issue price was 170p

So I guess my acquisition price was £255

I sold them in 2010/2011 for £850

So, I guess I'm looking at a gain of £595

But are there any indexation / taper reliefs on an asset I bought in 1987 ?

Also, are there any restructuring B share . C share issues I need to take into account ?

Any advice welcome.

Thanks

by **Peter D** on Sat Jan 21, 2012 11:10 pm

This comes under capital gains and you have a £10,600 or £10,100 depending on the date of disposal allowance so there will be no tax liability. Regards Peter

by **landlord1234** on Sun Jan 22, 2012 11:49 am

yes, i realise that but I want to declare it properly as it will reduce my overall losses for the year.

is there no indexation or taper relief on something held that long , ie ince 1987 ?

thanks

by **Peter D** on Sun Jan 22, 2012 12:11 pm

All gone I'm afraid. CGT is now a straigh 18 or 28% depending or your IT marginal rate basted on you gross salary plus any other income and capital gain. So all your capital gains minus any capital losses to give you a net gain. Regards Peter

by **mullet** on Sun Jan 22, 2012 12:14 pm

yes, i realise that but I want to declare it properly as it will reduce my overall losses for the year. is there no indexation or taper relief on something held that long , ie ince 1987 ?

If losses are used against gains of the same year then they must be used in full or (if lower) to the extent that the gains are reduced to nil.

But if losses are brought forward and you have gains below the annual exempt amount, then you do not have to use such losses; they can be carried forward to the following year intact.

Indextaion (for individuals) and taper have not been available for disposals in 2008-09 and later. This change was coupled with the introduction of the 18% CGT rate.