Find out how to complete a stock transfer form and get it processed.
You must complete a stock transfer form if you’re transfering shares you own to another person or company.
HMRC do not issue stock transfer forms, but you can get a stock transfer form from people such as a:
- broker or company registrar
- lawyer or an accountant who deals with share transfers
You can also download a stock transfer form from the internet.
When you have completed the form this must be sent to HMRC to be stamped. You must:
- send your stock transfer form to HMRC within 30 days of it being signed and dated
- pay the Stamp Duty within 30 days of the stock transfer form being signed and dated
New Stamp Duty processes were introduced on 25 March 2020. Where Stamp Duty is paid on a stock transfer form since then, that instrument is duly stamped for all purposes. The previous physical stamping system has been permanently withdrawn.
Completing the form
When you complete a stock transfer form you need to give all the details of the sale including the:
- shares being transferred (the quantity, class and type, for example 100 ordinary shares, ABC Limited)
- buyers name(s) and address
- sellers name(s) and address of registered holder(s)
You also need to give the value in pounds sterling of what you paid for the shares in:
- cash ― including bank transfers or cheques
- other stock and shares
- debt assumed or released
This is known as the chargeable consideration.
Enter ‘Nil’ as the consideration if you do not give any consideration for the shares.
Consideration in cash
If you give consideration in cash for the shares, you must include the amount. Any amounts in overseas currencies must be converted to pounds sterling using the exchange rate, either:
- on the date of the transfer
- agreed between the buyer and seller
The exchange rate used should be stated on the form.
You can find daily exchange rates on the Bank of England website.
Consideration in other stocks, shares and debt
If you give consideration other than in money for the shares, state what you have given. For example, 100 ordinary shares in XYZ Limited with a value of £70,000, or debt assumed of £70,000.
If the consideration is calculated by reference to something in another document, such as a Share Purchase Agreement, then state that. For example, ‘as calculated in Section 3 of the Share Purchase Agreement’. You must include a copy of the agreement.
Consideration ― special rules
Sometimes the chargeable consideration is different from the actual consideration given, for example due to a market value rule. In this case, we recommend you either:
- include details on the stock transfer form ― for example after the actual consideration state “Stamp Duty calculated on the £200,000 market value of the transferred shares”
- reference the deemed consideration on which Stamp Duty has been calculated in your covering letter
Certificate 1 and 2
If the transfer is exempt from Stamp Duty, or no chargeable consideration is given for the transfer, you need to complete one of the certificates on the back of the stock transfer form.
You should complete certificate 1 if the:
- consideration you give for the shares is £1,000 or less
- transfer does not form part of a larger transaction or series of transactions where the total is more than £1,000
You should complete certificate 2 if the:
- transfer is exempt from Stamp Duty, for example, transfers in connection with divorce or the dissolution of a civil partnership
- consideration given is not chargeable consideration
No certificate needed
You do not need to fill in either certificate 1 or 2 where no consideration is given for the shares or if you’re claiming a relief from Stamp Duty.
If you’re claiming a relief you’ll need to send the completed stock transfer form, together with details of the relief you’re claiming to HMRC for them to consider the relief claim.
If you’ve completed certificate 1 or 2, or no consideration was given for the shares, you will not usually have to pay any Stamp Duty or send your form to HMRC for stamping.
How to get your form stamped
Following the introduction of new Stamp Duty processes on 25 March 2020 you should not post your form to HMRC.
You can choose email to submit your Stamp Duty notification documents to us. You should be aware and accept that there are risks in using email, including:
- emails sent over the internet or other insecure network may be intercepted
- an unencrypted email can be intercepted, read and altered
- where it cannot be guaranteed that an unencrypted email received over an insecure network has not been altered
- phishing, impersonation and malware could contain malicious code
- an email sent over the internet may never arrive, and neither the sender or recipient may be aware of this.
You can find more general information on our data protection and policy procedures in the HMRC Privacy Notice.
The form must be fully completed, signed and dated (use power of attorney if necessary). We will accept e-signatures.
You must also include electronic versions of any Share Purchase Agreement and supporting documents if the Stamp Duty is calculated by reference to them.
If the consideration is something other than cash, a cash value must be provided.
If you received a Stamp Duty opinion from HMRC before the transaction, you must include a copy of this.
Email a copy of your stock transfer form or other instrument of transfer (for example, a scanned PDF) to firstname.lastname@example.org.
If you submit multiple stock transfer forms together, along with a single payment of Stamp Duty, a schedule should be provided allocating the Stamp Duty across the instruments.
If you cannot submit your notification electronically
You may post your notification to:
BT- Stamp Duty
HM Revenue and Customs
Couriers should use a different address. You must not post original copies of documents to these addresses, as we will not retain or return them to you.
You must include your contact details when submitting by post.
The Stamp Duty must be paid before we can process the stock transfer form.
If you submit your notification without paying the Stamp Duty, we will contact you before we progress your notification.
After we get your notification
We cannot acknowledge each individual notification.
We aim to deal with 80% of stock transfer forms within 15 working days of receiving them.
We’ll contact you when we need more information or a document is missing or incorrect before we progress your submission.
You should allow 20 working days to give us time to deal with your form.
Get an opinion on the amount due
When you submit your Stamp Duty notification you must pay the correct amount of Stamp Duty, this may include penalties and interest payments.
If you’re not sure of the amount to pay you can ask us for an opinion on the amount due in your email.
Errors that cause delays
We may reject your application where some of the following apply:
- stock transfer form is not dated
- stock transfer form is not signed
- Stamp Duty is not rounded up to the nearest £5 on each document
- consideration value is not shown on the form ― if shares are given as consideration you’ll need to give the value of the shares
- no copy of the share purchase agreement is provided where the consideration is calculated by reference to it
- no schedule is provided when multiple stock transfer forms are submitted together
What happens next
What HMRC will do
Check your form
Confirm we have received payment
Send you a letter that will:
- confirm receipt of Stamp Duty
- detail the transactions we are confirming receipt for and the verification codes
- 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
What you must do
You must send it to the registrar of the company you have bought shares in with the stock transfer form and share certificate. The address of the registrar is on the share certificate.
The registrar will issue you with your own share certificate.
If you’re submitting a form SH03 to Companies House, you should include a copy of the HMRC confirmation letter with the SH03.
Same day stamping service
The ‘same day’ stamping service is a faster stamping service offered by HMRC. However, it’s only available in exceptional circumstances, such as unexpected or unforeseen circumstances when it’s essential to have a document stamped immediately.
You cannot use the ‘same day’ service if the urgency could have been avoided by:
- either party
- their respective agents
You will not be able to use the ‘same day’ stamping service if the law requires you to apply to us for a decision known as adjudication before stamping, such as when a relief is being claimed.
We expect the number of occasions when ‘same day’ stamping service is required to be minimal.
If you become aware that a transaction may need a stock transfer form stamped at short notice, you should email: email@example.com giving as much detail as possible, including the:
- number of stock transfer forms to be stamped
- specific reason or reasons for the request
- amount of Stamp Duty
You can also contact us to discuss your request.
Reliefs and exemptions
There are some share transactions that qualify for reliefs or exemptions. They can reduce the amount of Stamp Duty you pay or are exempt from Stamp Duty altogether.
If you pay too much Stamp Duty on a transaction you may be able to claim a refund.
Refunds must be claimed within 2 years of the date of the stamped document. If the document is undated, a refund can be claimed within 2 years of first execution.
Email your request to: firstname.lastname@example.org saying why you think a refund is due and provide the:
- stamped document
- HMRC confirmation letter where the document was stamped on or after 25 March 2020
- names of the parties involved
If you cannot email your refund request, you may post it to the same address mentioned under the section about ‘if you cannot submit your notification electronically’.
HMRC will contact you if they need more information to support your claim.
If your refund is agreed, the Stamp Duty will be repaid, usually with interest, from the date the tax was paid.
We can only repay Stamp Duty by electronic transfer.
Do not email your bank details with your refund claim, we cannot use them for security reasons.
HMRC will contact you by email and send you a secure Dropbox link so you can provide your bank account details. This link can only be accessed by you and designated HMRC officers. If you are unable to use Dropbox you should let us know.
Once your bank account details have been received, your repayment will be processed electronically.
If the refund you’re applying for is £150,000 or more you can ask for payment by CHAPS electronic transfer.
UK shares bought from abroad
If you buy shares in a UK company while you’re abroad, you still have to pay Stamp Duty, and get the transfer documents stamped. If you do not do this within the time limits you may have to pay a penalty and interest.
Find out about deadlines and penalties in Stamp Duty: penalties, appeals and interest.
If you buy foreign shares you do not have to pay Stamp Duty. If however you bring a document which transfers shares into the UK there could be a charge to Stamp Duty. You may also have to pay other taxes on foreign income.
Get more information
If you need any help with working out if you have to pay Stamp Duty contact HMRC Stamp Taxes Helpline.