A client is a consultant. Their client has paid then in shares instead of cash. What do I need to consider when preparing the tax return?
Does income register as normal and then we end up with an investment value of the same amount? Then when shares are sold, capital gains tax is paid on the profit?
Or is no income registered now and then capital gains tax will be due on the whole value?
Sorry thinking out loud - option 1 seems to make the most sense. Thank you in advance