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Contents

Official guidance
Inheritance Tax Manual

IHTM34000 · Loss on sale of shares

  • IHTM34001 · Summary
  • IHTM34010 · Background
  • IHTM34011 · Basic conditions
  • IHTM34131 · Qualifying investments: what are qualifying investments?
  • IHTM34132 · Qualifying investments: non-qualifying investments
  • IHTM34134 · Qualifying investments: shares temporarily suspended at the date of death
  • IHTM34135 · Qualifying investments: share option schemes
  • IHTM34136 · Qualifying investments: underwriting deposits
  • IHTM34137 · Qualifying investments: unadministered estates
  • IHTM34138 · Qualifying investments: reversionary interests
  • IHTM34139 · Qualifying investments: shares held by a partnership
  • IHTM34140 · Qualifying investments: foreign stock exchanges
  • IHTM34141 · Qualifying investments: open ended investment companies (OEIC)
  • IHTM34151 · Sales: the basic condition
  • IHTM34152 · Sales: date of sale
  • IHTM34153 · Sales: appropriations
  • IHTM34154 · Sales: exchanges
  • IHTM34155 · Sales: unsaleable investments
  • IHTM34156 · Sales: suspension of shares
  • IHTM34157 · Sales: cancellation of shares
  • IHTM34158 · Sales: Special treatment of shares in Northern Rock & Bradford & Bingley
  • IHTM34161 · Appropriate person: basic condition
  • IHTM34162 · Appropriate person: separate claims by legal personal representatives and trustees
  • IHTM34163 · Appropriate person: death of the legal personal representative or the trustee
  • IHTM34164 · Appropriate person: Personal Equity Plans (PEPs) and Individual Savings Accounts (ISAs)
  • IHTM34171 · Calculating the loss: what is an 'overall loss'?
  • IHTM34172 · Calculating the loss: how is the loss calculated?
  • IHTM34173 · Calculating the loss: value on death
  • IHTM34174 · Calculating the loss: interest on government securities
  • IHTM34175 · Calculating the loss: call
  • IHTM34176 · Calculating the loss: sale value
  • IHTM34177 · Calculating the loss: capital payments
  • IHTM34178 · Calculating the loss: foreign shares or investments
  • IHTM34181 · Changes in shareholdings: changes in the capitalisation of a company
  • IHTM34182 · Changes in shareholdings: date of death value for the whole of a new holding
  • IHTM34183 · Changes in shareholdings: date of death value for investments sold
  • IHTM34184 · Changes in shareholdings: investments forming part of the new holding
  • IHTM34185 · Changes in shareholdings: bonus issues
  • IHTM34186 · Changes in shareholdings: renounced bonus issue
  • IHTM34187 · Changes in shareholdings: rights issue
  • IHTM34188 · Changes in shareholdings: rights sold
  • IHTM34189 · Changes in shareholdings: rights taken up and sold
  • IHTM34190 · Changes in shareholdings: rights not taken up or sold
  • IHTM34191 · Changes in shareholdings: rights disposed of without consideration
  • IHTM34192 · Changes in shareholdings: part of rights sold, balance taken up as shares
  • IHTM34193 · Changes in shareholdings: acquisitions prior to sale
  • IHTM34211 · Restrictions on relief for purchases: introduction
  • IHTM34212 · Restrictions on relief for purchases: the restriction
  • IHTM34213 · Restrictions on relief for purchases: purchases by the ‘appropriate’ person
  • IHTM34214 · Restrictions on relief for purchases: purchases of ‘qualifying investments’
  • IHTM34215 · Restrictions on relief for purchases: prior purchase of similar shares
  • IHTM34220 · Restrictions on relief: part holdings comprised in the deceased’s estate
  • IHTM34230 · Restrictions on relief: loss on sale is greater than the original date of death value
  • IHTM34241 · Attribution of values to specific investments: summary
  • IHTM34242 · Attribution of values to specific investments: payment of ‘call’
  • IHTM34243 · Attribution of values to specific investments: changes in the capitalisation of a company
  • IHTM34244 · Attribution of values to specific investments: purchases of qualifying investments
  • IHTM34245 · Attribution of values to specific investments: example of how values are revised under IHTA84/S187(3)
  • IHTM34020 · Service/Compliance procedures: Introduction
  • IHTM34061 · Service/Compliance procedures: raising enquiries
  • IHTM34090 · FACET procedures: introduction
  • IHTM34091 · FACET procedures: why are forms IHT 35 sent to FACET?
  • IHTM34092 · FACET procedures: summary of checks made in FACET (chart)
  • IHTM34093 · FACET procedures: is the form IHT 35 appropriate for FACET to consider?
  • IHTM34094 · FACET procedures: what checks should you make if a substantial loss has been claimed?
  • IHTM34095 · FACET procedures: what you should do if one or more of the questions at 2 or 3 are answered ‘Yes’
  • IHTM34096 · FACET procedures: non-mandatory referrals from caseworkers
  • IHTM34097 · FACET procedures: suspended or cancelled shares
  • IHTM34098 · FACET procedures: purchase of shares
  • IHTM34099 · FACET procedures: exchanges
  • IHTM34100 · FACET procedures: capital payments
  • IHTM34101 · FACET procedures: call
  • IHTM34102 · FACET procedures: changes in shareholdings
  • IHTM34103 · FACET procedures: bonus issues
  • IHTM34104 · FACET procedures: rights issues
  • IHTM34105 · FACET procedures: options
  • IHTM34106 · FACET procedures: limitations on loss of sale of shares relief
  • IHTM34133 · Qualifying investments: Unlisted Securities Market (USM) shares
  • IHTM34165 · Appropriate person: Sales made by Investment Managers
  1. Loss on sale of shares: contents
  2. Calculating the loss: foreign shares or investments

IHTM34178 | Calculating the loss: foreign shares or investments

From HM Revenue & Customs · Inheritance Tax Manual

When foreign shares or investments are sold following the death, the loss on sale is calculated by reference to the sterling values of the shares. The value at the date of death is converted into sterling using the exchange rate at the date of death. The sale price is converted in sterling using the exchange rate at the date of sale. The loss is calculated as the difference between the two sterling values.

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