Where a company has been struck off under a formal liquidation and distributions have been made on several dates including crossing over the tax year am I correct is stating that these are taxed on the date of receipt ? Also since the distributions are paid at £X per share on the basis that I have a large base cost I presume that I allocate the cost pro rata based on the proceeds divided by the number of shares ?
Thanks in advance for any responses.
Replies (1)
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More or less - yes
Hi millertime,
The date of distribution by the liquidator is the date of the CGT disposal for shareholders - s.122 TCGA 1992
As for your second question; if the shares are pooled for CGT purposes then the base cost will, as you suggest be pro rated.