Tax Treatment of Free Shares following demutualisation

[eggerb]

I received some free shares (say 500) from Standard Life on 10th July 2006 and on the same date bought some shares at a 5% discount (say 5000 shares). From a Capital Gains Tax point of view, if I dispose of 3000 of the shares, may I nominate that these 3000 are from the 5000 I bought or must I include the free shares and 2500 of the ones I bought?

 

[ClubMan]

You might want to look up the Revenue summary guides to CGT and specifically the "FIFO rules".

 

[eggerb]

Cheers Clubman. It seems according to this that the revenue deem all shares (including the bonus shares I received a year later) to be aquired on the same date.