A Capital Gains Tax (CGT) Liability may arise when you dispose of an asset (e.g. Shares) which is worth more when you sell it than when you acquired it.

On 6 April 2008 the HM Revenue and Customs (HMRC) changed the way CGT is calculated. Further information can be found on their website at

Over the years the capital structure of Marks & Spencer has changed. Two events have occurred that may need to be considered when calculating any CGT chargeable gain in relation to our shares.

1984 Scrip issue - For the purposes of Capital Gains Tax the price of ordinary shares on 31 March 1982 was 153.5p each which, when adjusted for 1 for 1 scrip issue in 1984, gives a figure of 76.75p each.

2002 Share Consolidation and B Share Issue - Following the capital reorganisation in March 2002, the Inland Revenue has confirmed the base cost for CGT purposes was 372.35p (81.43%) for ordinary shares and 68.75p (18.57%) for B shares.

www.hmrc.gov.uk/cgt

Neither Marks & Spencer nor our registrar are able to advise on CGT.