Treasury shares following a share buy back

Copyright © 2025 LexisNexis
Produced by a Tolley Corporation Tax expert
Corporation Tax
Guidance

Treasury shares following a share buy back

Copyright © 2025 LexisNexis
Produced by a Tolley Corporation Tax expert
Corporation Tax
Guidance
imgtext

This guidance note sets out the tax effect of a company retaining in treasury shares which it has bought back. For an overview of the purchase of own shares see the Purchase of own shares ― overview guidance note.

See also Simon’s Taxes D.605.

Tax treatment of treasury shares

Any limited company is permitted to retain repurchased shares. Such shares are known as ‘treasury shares’.

It is unusual for the typical UK private company to have treasury shares because their use is limited. One example

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
TAKE A FREE TRIAL NOW
Powered by Tolley+™
  • 20 Aug 2025 07:30

Home/ Tolley Tax Guidance/ Corporation Tax / Selling or exiting the business

Popular Articles

Employment Tax

Fuel-related payments / mileage payments

Fuel-related payments / mileage paymentsIntroductionMost employers will make payments to employees in relation to business travel. Among the most common payments in relation to business travel are fuel and mileage payments. If an employer does not reimburse these amounts, then the employee will be

14 Jul 2020 11:46 | Produced by Tolley in association with Philip Rutherford Read more Read more

Exemption ― insurance ― overview

Exemption ― insurance ― overviewThis guidance note provides an overview of the VAT treatment of insurance products and should be read in conjunction with the Insurance ― specific transactions and Exemption ― insurance ― brokers and agents guidance notes.Is insurance exempt from VAT?Supplies of

Read more Read more
Employment Tax

Parking provision and expenses

Parking provision and expensesCar parking facilities at or near to the employee’s workplaceThere is an exemption from tax and NIC where an employer provides parking, or pays for or reimburses an employee for the costs associated with car parking at or near the place of work; there are no reporting

14 Jul 2020 11:09 | Produced by Tolley Read more Read more