I am trying to enter a Negligible Value Claim in Taxfiler. My client holds shares in NMC Health - the company is in administration, the shares have nil value and have been delisted. The company doesn't appear on HMRC's list of formerly quoted shares which have been officially declared as of negligible value, but the administration happened in February 2020 and it appears that it can take some years before delisted shares make it to the list! My client's shareholding meets the conditions for a negligible value claim.
I am trying to enter the disposal in Taxfiler and struggling to get the software to calculate the correct loss on disposal. I have completed the following fields:
- Disposal date and proceeds (nil)
- Purchase date and cost (say £1,000)
- Reliefs claimed - negligible value claim and value (say £1,000) in Amount Claimed.
The loss auto calculates as £2,000 when it should be £1,000. The software has deducted both the purchase cost (£1,000) and the negligible value claim (£1,000) from the proceeds (nil) to over-state the loss.
I can over-ride the calculated loss but think I must have done something wrong as the calculation should work. The purchase cost and amount of the negligible value claim both seem like reasonable figures to include though!
If anyone can tell me where I am going wrong, that would be appreciated. I will otherwise contact Taxfiler support but was hoping to get this one finished.