Thank you for your patience.
Usually, when you sell the shares, HMRC will first evaluate whether you qualify for a tax-free capital gains allowance (currently £12300). After that, reduce the amount of capital gains tax allowance from the gains you earned after selling the share The capital gains tax will be paid on the remaining sum (Remaining sum = Capital gains – Capital gains tax allowance).
Children's shares will be taxed by HMRC. You are exempt only if you gift the shares to your spouse, civil partner, or a charitable organisation.
Inheritance tax– While transferring shares to your children, they are normally treated as gifts for inheritance tax purposes. If the transferor (parent) dies within seven years after making the transfer, the transferee (child) will be responsible for the inheritance tax.
The amount of tax due will be determined by the number of years between the date of the gift and the date of death. It is based on a sliding scale known as taper relief: 40% for less than three years, 32% for three to four years, 24% for four to five years, 15% for five to six years, and 8% for six to seven years.
Additionally, if you transfer shares to your children for less than market value, the difference between the sale price and market value is often treated as a gift by HMRC. This type of gift is referred to as a Potentially Exempt Transfer (PET) and will be subject to the standard inheritance tax rules.