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Receiving shares by means of a gift? Is tax payable?

Receiving shares by means of a gift? Is tax...

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Hello.  Can you help?  I'd really appreciate it if anyone could.  If two Directors (who're just close friends and not related in anyway) owned 50% of the shares (25% each, with each 25% being worth £12500) in a small limited company and one of those Directors decided he wanted to retire and give / gift his 25% to the other Director (who intends to carry on working within the company for at least the next 10 years), how much tax, if any, would the Director receiving the shares (which I guess wouldn't qualify as a tax-free gift) likely have to pay?  Or is there anyway around this?  

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By Marion Hayes
21st Feb 2013 21:26

Personal relationships are excepted

http://www.hmrc.gov.uk/manuals/ersmmanual/ERSM20220.htm 

I would think that there are examples which  would support your case

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