How is Sharesave managed on platform?24 May 2017
Sharesave can be easily facilitated on our platform for groups of employees. We'll work with employers to help support this.
By opting to put the shares into their Self-invested personal pension (SIPP) or ISA, employees are able to avoid being out of the market (as they would be if they were selling and re-buying the shares). If employees shares rollover at the time of maturity then they won't be due any tax on any current gains made due to any increase in the share price, during the time in the Sharesave scheme. If they are rolling the maturing shares into a SIPP, they will also be able to claim pension contribution tax relief.
Once they've decided to rollover into their SIPP or ISA, employers have to contact us and advise of the pending rollover.
Where the rollover is going into the stocks and shares ISA, the process will also check whether the shares are permitted under the ISA product wrapper, and if the contribution is going to exceed the employee's ISA limits. If the limit is reached then a General Investment Account net wrapper will be opened to accept the remaining balance of the sharesave rollover.
This information is based on our understanding of current legislation, taxation law and practice, which may change.