Stamp Duty on share transfer?

Do a Google for Stamp Duty Rates and you'll see the answer.

The question is not as simple as it sounds.

Assuming that stamp duty is payable:-

1/ Is it payable if the shares are gifted. 2/ More important, how are the shares valued.

I have already looked around the web and am still not completely sure of the facts.

Adrian Smith

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Yes £5

It doesn't matter if they are gifted.

I thought it was 5 as well. However are the IR really bothered? It must cost them more than 5 to collect the stamp duty. Has anyone ever been fined for not paying the 5? A bit like the now defunct dog licence of 37

1/2 p!

In message , Fred writes

That isnt the point. If you want a document have a legal status and accepted as so in court, then it must bear a stamp showing that duty has been paid. That then means you legally own whatever the document says you own. There is no fine for not paying stamp duty (AFAIAA), but the effect will be that you will just own a piece of paper, not whatever asset is passed to you because of what is written on that bit of paper.

I accept what you say but Companies House and the company secretary hold records of who owns the shares. Why any need for certificates?

Prima facie, yes.

If it's shown to not be a legal transfer then you would have no title.

In message , Fred writes

There is no need, which is why 'dematerialisation' is becoming the norm.

Anyway, what have share certificates got to do with this thread? They don't attract Stamp Duty. It is the Stock Transfer or Crest Form that carries the stamp, being the document of transfer, in the same way as it is the document of transfer of a property that bears stamp duty, not any Land Certificate, (and of course they are vanishing too).

Whilst I do have an old pension document with a 50p 'stamp' on it, I see no stamps on the .pdf contract notes that my online broker sends me for share purchases...

rgds, Alan

I was still in the past, what I meant was that stamp duty will have to have been paid for the purchase, which I am sure is showing on your contract note.