Blogger
Share this content
0
2
789

Transfer of shares

Hi all

I have a ltd company where shareownership is 50/50 between me and my husband. Now that my husband level of involvement with the company is reduced I would like to buy some shares back to reduce ratio to 70/30 (or should the company buy back) ?. What form should I log on Company House ? Can I do this in Webfiling ?

Many thanks

Anh

Replies

Please login or register to join the discussion.

avatar
By Old Greying Accountant
20th Dec 2012 23:14

You can ...

... do the transfer on a stock transfer form and file in the company statutory books, re-issue share certificates as appropriate. Make sure you also sign the appropriate certificate on the reverse about stamp duty exemption.

Companies House do not need to know until the annual return which will need to refflect the new holdings.

Inter-spouse transfers are exempt CGT so no need to buy them. Company buy back possible but more involved and to my mind not appropriate in this instance, unless the company has large reserves that could be distributed using entrepreneurs relief, which may then be applicable but someoneelse can comment on that as it is late and I'm too tired!

Thanks (1)
27th Dec 2012 06:44

Purchase of own shares

1.  Pass written resolution on form Writen Res CA2006 and

2.  complete form SH03

and file both with the Companies House.  Filing can be done on paper no PROOF or PROOF is removed.

Assuming you hold 50 shares each, POS of 57 shares would reduce your husband’s holding to 30%.

Gain up to £10,600 would not be liable to Capital Gains Tax (assuming no other capital gains in the tax year).

Thanks (1)