Feel the solution!

KEY POINTSConsider the deemed market value provisions and employee credit due.Application of market value rule to unrestricted shares.Special treatment of restricted shares.Options and the reversal of Mansworth v Jelley.Concession applying to employee trusts.

WHEN EMPLOYEES ACQUIRE and sell shares in companies in their employer or employing group advisers' attention is normally focused on the income tax and National Insurance aspects of those transactions. However an analysis of the capital gains tax aspects is by no means straightforward even if in most cases what initially 'feels' like the correct answer turns out to be right.
The general position is that a capital gain or loss is worked out on normal principles by deducting what was actually paid from what was actually received but two sets of capital gains provisions in particular muddy the waters.

What is the consideration?

The first set to...