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TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15977
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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I have a number of shares in companies that were originally

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I have a number of shares in companies that were originally listed on the AIM market. These companies (5 in all) have now delisted. Naturally I still hold shares but they are now in essence private companies and the shares can not be traded. In light of this can I treat these shares as a capital loss since they have no value.

You can make a claim for capital losses for shares if you consider that they are of negligible value. Such a claim is subject to the agreement of HMRC. You can find out how to make a claim in the HMRC helpsheet HS286 here. If the tax office accept that the shares were of negligible value, you will be able to use the capital losses against gains you make in the tax year the shares are granted negligible value status for or carry them forward to use against gains you may make in the future.

In come circumstances, you can claim income tax relief against income for the capital losses and HS286 gives you the criteria for such a claim to be successful. I'd advise you to take detailed professional advice if that is a possibility since the qualifying criteria are quite strict and I can only give you general pointers as to your options from here.

I hope this helps but let me know if you have any further questions.
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