First Active CGT payments deadline

MORE THAN 100,000 former shareholders in First Active have just days to pay the Capital Gains Tax (CGT) due on their windfalls following the mortgage lender’s takeover by Royal Bank of Scotland earlier this year.

Revenue said yesterday that it expected the bulk of payments to be made before the October 31 deadline but was “very satisfied” that its long-running information campaign would mean most former shareholders would calculate their liability and pay the tax due on time.

123,000 shareholders received letters from Revenue in September advising them of their potential liability. The letters were aimed at shareholders who received free shares in the former building society when it converted to plc status in 1998 and were unfamiliar with CGT, the tax levied at 20% on profits from share dealing.