Hi I've been asked for advice from a relative, and I just want to double-check things with people here.
They sold some US-based shares last year.
They sold more shares than they wanted to (they hadn't checked the share price before they sold)
They want to buy back some of the shares (which have risen about 30% since they sold them)
The total gains are in the region of 20k
They had these shares for a long period (possibly before 2003 so may be eligible for Indexation Relief)
They don't know anything about CGT
Do I have to deliver the bad news that they owe roughly 6k in CGT? Is there any additional allowances for OAPS, or people who have no PAYE income?
Would I be correct in thinking that if they want to buy back some of the shares, they first have to pay CGT? It can't be a case of not realising that gain?
They sold some US-based shares last year.
They sold more shares than they wanted to (they hadn't checked the share price before they sold)
They want to buy back some of the shares (which have risen about 30% since they sold them)
The total gains are in the region of 20k
They had these shares for a long period (possibly before 2003 so may be eligible for Indexation Relief)
They don't know anything about CGT
Do I have to deliver the bad news that they owe roughly 6k in CGT? Is there any additional allowances for OAPS, or people who have no PAYE income?
Would I be correct in thinking that if they want to buy back some of the shares, they first have to pay CGT? It can't be a case of not realising that gain?