Capital Gains Tax

[paul.e]

Our commercial property company was formed in 1986 50% of shares in my name. 3 years ago I transferred 12.5% to my wife. I am proposing to transfer another 12.5% to my wife. If we in the future sell the company via a sale of shares will the capital gains taper relief time scale be based on the date my wife received the shares to the sale date or the issue date 1986.ie Indexation to 1998 taper relief 1998 onwards.

paul e

[ian.wright@beechams.]

A transfer to your wife (who lives with you) will be treated as though she had originally owned the shares back in 1986. She will take on the base cost and have use of indextaion to April 1998 and taper relief from there on.

[paul.e]

Thank you Ian for this information
Paul.e