From 28 April 2014, stamp duty and stamp duty reserve tax will no longer be chargeable on transactions in securities admitted to trading on a Recognised Growth Market i.e. AIM and the High Growth Segment (HGS). The London Stock Exchange has applied to HMRC for Recognised Growth Market status for AIM and the HGS.
In order to benefit from this exemption, the London Stock Exchange is requiring issuers on these markets to complete a prescribed form (see below) certifying that their securities are admitted to trading on AIM or the HGS and that they are not listed on a Recognised Stock Exchange.
The form must be submitted to Euroclear UK & Ireland Limited (EUI) as soon as practicable and by no later than 23 April 2014 in order for issuers to benefit from this exemption. Failure to submit the form will result in EUI continuing to collect stamp duty reserve tax on transactions in securities of that issuer.