Once you have filled out your J30 or J10 stock transfer form, you may need to send it to HMRC.
Once a Stock Transfer Form has been completed you need to do the following:
- Consider whether Stamp Duty is payable (and if so settle the amount due)
- Put the completed Stock Transfer Form (Stamped if applicable or unstamped if Stamp Duty not payable) with the company books.
- Cancel the old share certificates
- Issue new share certificates
Note: Stock transfer forms should not be sent to Companies House. See How is Companies House updated following a share transfer?
When is Stamp Duty payable on a share transfer?
Generally stamp duty will only be payable if the consideration was more than £1000. If this is the case the completed Stock Transfer Form will need to be sent to HMRC for stamping.
There are also some types of transfer which can qualify for relief to reduce the amount of stamp duty due or eliminate it entirely. You can find out more about these specific reliefs, the circumstances in which they apply and how to make a claim in the stamp duty section of HMRC’s website.
If the transfer is exempt from stamp duty it must be certified and signed to that effect on the reverse of the stock transfer form. If the transfer is thus exempt and no stamp duty is payable, there is generally no requirement to send the stock transfer form to HMRC. In that case, the certificate can be sent directly to the company to be processed.
Due to COVID-19 new Stamp Duty processes were introduced on 25 March 2020, if stamp duty is payable, you must send an electronic version or a scan of your paper form via email to stampdutymailbox@hmrc.gov.uk.
If you cannot email your stock transfer form, send a photocopy by post to the below address. You must keep the original signed document for your records.
BT – Stamp Duty
HM Revenue and Customs
BX9 1HD
United Kingdom
The deadline for paying the stamp duty due is 30 days after the share transaction takes place. Failure to pay may result in penalties and interest being applied to the late amount.
If the Stamp Office is not satisfied that the consideration stated on the stock transfer form represents the full value of the shares being transferred, it will ask for documentary evidence to support the valuation. However, once satisfied, the Stamp Office will send a letter confirming receipt of the Stamp Duty, detail the transactions they are confirming receipt for and the verification codes.
The letter will also confirm that the stock transfer form or instrument of transfer has been duly stamped by us so that the registrar may register the new ownership of the shares
If you want additional information on how a stock transfer form is used, when stamp duty applies or other aspects of the share transfer procedure, check out our handy guide to transferring shares.
Note: For in depth information on the stock transfer form, please see: How to complete a stock transfer form in 10 easy steps
Note: For jointly held shares, all registered joint shareholders must sign the J30 (stock transfer) form to authorise a sale or transfer. A single joint holder cannot transfer jointly held shares without the signatures or consent of all joint holders.