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Selling shares.. tax and national insurance...

The latest news and discussion on Royal Mail Shares.Please note the advise given in this forum is unofficial, please use the links we have for a more detailed response or see an independent financial adviser.
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TrueBlueTerrier
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Selling shares.. tax and national insurance...

Post by TrueBlueTerrier »

stephen hughes wrote:hi all,the issue price was £3.30 so you will be taxed 20 per cent plus 12 per cent national insurance,plus selling fee of around £20, total around £648 roughly on 613 shares.

Sorry but that is inaccurate.

The initial IPO price was £3.30, but that has nothing to do with our free shares.

The Free Shares value was determined by the closing mid-price on the day of allocation. Which on 15 October 2013 was £4.89


The amount of Income Tax(20%) and National Insurance(12%) that’s payable is worked out as the lower of:

The market value at the time they are allocated (£4.89)
Or
The market value when you remove them from the SIP(sell them) (today £5.26)

https://www.myroyalmail.com/sites/defau ... ochure.pdf" onclick="window.open(this.href);return false; Page 22 for reference.
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