Not Monzo-related but I wondered if somebody here could shed light on this for me given majority of people will have invested in Monzo via Crowdcube.
I’m invested in another company through Crowdcube, which has offered a chance to sell shares at a discount of 10% to the share price at most recent funding.
This part of the email threw:
Stamp duty will need to be paid on this transfer, so we will reduce this amount by 0.5% rounded up to the nearest £5 and pay this directly to HMRC on xxx behalf.
I have enquired about it because it doesn’t seem right that a seller of shares should pay the tax on behalf of the buyer. But I am reading that as essentially offering to buy at a discount of 14%, rather than 10.
Is this normal? Am I stupid? Is this a Crowdcube quirk? Is this just the terms of the arrangement they’re offered (if so, misleading)?
Any thoughts appreciated.