With London Move, Some Aon Shares Subject to Capital Gains Tax
Not all shareholders of Aon’s stock will be subject toU.S.capital gains tax if shareholders approve the insurance brokerage firm’s changes to move its headquarters fromChicagotoLondon, the firm said.
In a filing with the Securities and Exchange Commission today, Aon says shareholders will receive one Class A Ordinary Share of the newU.K.holding company in “exchange for each share of common stock previously held in AonDelaware.”
The exchange will not change the number of whole shares shareholders hold, Aon said.
The firm goes on to say thatU.S.shareholders “could recognize a capital gain on the receipt” of the shares.
Aon says that those who own Aon stock outright could be subject to capital gains taxes, whereas those with restricted or deferral arrangements may not be subject to capital gains taxes.
The filing, which is a copy of a letter sent to shareholders, advises shareholders that they should contact a tax advisor to understand how their holdings will be treated.
Aon says it has hired PricewaterhouseCoopers “to provide assistance to colleagues that have additional questions about how this transition will work and what it means for your holdings.”
According to a piece in The New York Times, the move from theUnited States may not have sat well with founder Patrick Ryan. The story cites