From: "Miss L. Toe" 
Newsgroups: uk.finance
Subject: Re: CGT on compulsary sale of shares
Date: Fri, 19 May 2006 18:42:16 +0100


"Mr Scummy"  wrote in message
news:446dfb4f$0$8333$da0feed9@news.zen.co.uk...
> Robert wrote:
> > "I've dug around at the HMRC site but unfortunately I can't find any
> > clear explanation of the CGT rules relating to the compulsory
> > re-purchase of shares.  Perhaps it's just treated the same as if I'd
> > sold them all voluntarily, i.e. I'll be hit with a hefty CGT bill :( "
> >
> > Don't companies usually offer you a "loan note" instead of the money in
> > situations like this?  Then you cash in the loan note at a time of your
> > own choosing that is more convenient for your CGT planning.
> >
> > Robert
> >
>
> The offer document does state that shareholders can elect to receive
> Loan Notes rather than cash for their shares, but it goes on to state
> that these notes will then be repaid in full in March 2007, so it seems
> the overall CGT liability in this FY would end up just the same (hence
> I'm also uncertain what function the Loan Notes are meant to serve).
>
> Hopefully there will be some clarification from the company bosses in
> the coming weeks; I just hoped someone here might have been through a
> similar process...

Are you influential enough to tell the US company when the UK tax year runs
?
And is your position in the company such that they will want to keep you
happy ?

(you could always ring your tax inspector and ask ?)