passing shares to my kids

[Garry Baldy]

Hello,

Am I right in believing, other than using a trust, that I cannot give my shares to my kids (they're 4 and 8!)

Ta
GB

[hashman]

A simple form of trust called a 'bare trust' could hold shares for your children up until their 18th birthday. You could be the trustee. Basically it is like having a nominee holding. Any income generated is taxable on you (unless less than £100 pa). Effective for CGT purposes however - child has their own annual exemption, taper relief etc.

[Taxbar]

If you gift. Trading Company shares they will be elgible for holdover relief on CGT.

If shares you hold as investments in quoted company then you need a Discretionary trust.

Otherwise, a share gift will trigger CGT!

Daniel Feingold
STP
info@stratax.co.uk

[Garry Baldy]

Thanks guys - you've more than answered my query.

They're actually shares in my (unlisted) trading business. Don't actually know whether I'll gift or sell as yet.

Cheers