From a quick search on the internet, it appears that the screen share facility isn't properly supported in Skype 4.3 for Linux (which I assume is the version you're using and which hasn't been updated in a couple of years).
Microsoft recently announced the development of a new Skype for Linux version, but it will be some time before it is properly released (the alpha version, for example, doesn't support screen sharing at all).
Your options if you want screen sharing now? Use another screen sharing facility (there are several web-based ones about), try running the latest Skype for Windows under Wine, or set up a Windows VM and run Skype in that. You may also find a Skype alternative that allows screen sharing. If you do find one, let me know.