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Hello and thank you for allowing me to assist you.
If the company taking over issues shares only you don’t pay Capital Gains Tax when you get the shares.
When you sell or dispose of your new shares they’re treated as if you bought them at the same time and cost as your original shares.
If your mother received shares in the new company in 2005 for her shares in the previous then you use her original cost for the sale now.
If she received any cash in 2005 then when she sells or disposes of her new shares and work out her capital gain, her allowable cost will be the cost of the original shares less the amount of cash she gets.
It is what she bought them for in 1986. Her broker may be able to assist with that.
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