sijamie

I hope someone can help. My father passed away in October 2012. This morning I had an email from the solicitor handling his estate. She said that as I am not resident of the UK, I was unable to own shares in a UK company and she suggested the shares should be sold back into the estate and I would be given the cash instead.

This would not be a problem normally but the shares gained 40% in a year and I was hoping that these would give me an investment.

If someone can shed any light on this subject I would be grateful.

Oakvillian

that does seem a rather bizarre notion. I'm sure somebody who knows better will be along in a minute, but why on earth would a foreign resident not be able to own shares in a UK company?

Shirtback

Seems odd to me too. And I'm interested enough to go google.

On the other hand, could it be a misunderstanding/misinterpretation? My sister & I are settling my mother's estate in the UK, & it involves liquidating all assets (shares, property, bank accounts etc) into an "estate account" then dispersing it to heirs.

I'm sure there'll be an answer here soon; if not, & if you wish, I can copy your question to my UK uncle (solicitor) who advises us.

SB

JonboyE

I know loads of Canadian residents that own shares in UK companies.

If this is a private company there may be a restriction placed on foreign ownership in the memorandum and articles. Ask the brief for chapter and verse on the rules so you can check for yourself.

Novocastrian

Could this be concerned with the terms of will? If your father left the shares to you and stated so specifically in his will, I can't see the problem. But if he said "my sprog gets x% of my total assets and my cat gets y% etc.) then I think the executors have to cash everything out before distributing the assets.

No expert.

Shirtback

Me neither. However, that's what I'm thinking too. AFAI can see, residency doesn't enter the equation.

To the OP, having helped my parents through execution of my grandparents' estate, & working on current execution of my mother's, may I suggest not taking solicitors' word as gospel. Even the good ones get mixed up when overseas heirs are involved.

The gov.uk site has a good section on probate, as does the CAB.

Shout if you need more help. I know it's not an easy experience.

SB

Siouxie

The solicitor is incorrect. You can quite legally hold shares if you are non-resident.

http://money.stackexchange.com/quest...f-uk-companies

Nor does an executor have to cash out shares/stocks etc., they notify the companies and send a copy of the death certificate and grant of probate (if they have obtained one) then they do a simple transfer. I was the executor for my Father's will and he left his estate in equal proportions between his 4 adult children with small bequests to grandchildren - I divided the shares and any 'excess' over an equal division was sold and distributed in cash.

sijamie

My thoughts exactly!

sijamie

Thank you, if you don't mind asking your Uncle I would really appreciate it. Everything else apart from the shares has been put back into the estate, bank account, house etc. it was decided that because the shares had given a good return to keep them and just divvy them out accordingly. I really can't help thinking I'm being taken for a ride here.

Atlantic Xpat

I'm a foreign resident working for a Canadian company which is a subsidiary of a UK PLC. I'm enrolled in the sharesave scheme for said UK PLC. I don't imagine that opportunity would be offered to us Canucksatians if it were illegal.

sijamie

Interesting, thanks, I'll do that. I've requested the solicitor not to make any decisions until I've looked into it. She'd better not. I can't help feeling I've been hard done by due to the distance from the UK... Out of sight, out of ...etc etc

sijamie

Very good point, me neither!

sijamie

Thanks for for the site and offer of help, I really appreciate it.

sijamie

Thanks, I might just send that link to the solicitor.

JamesM

I have shares and a share ISA still in the UK.

Ownership is fine but I know when I sell the shares I'll possibly get stung for capital gains in the UK. Bare that in mind when looking at share value growth.

On the ISA I think I'm fine to just cash out and move the money when the time is right. I will however have to pay tax in Canada on the exchange rate changes from landing to date of sale. Obviously as a resident in Canada I have not been able to add to the fund since immigration.