Capital gains tax

Capital Gains Tax (CGT) is payable by individuals, trustees and 'personal representatives' (PRs). Companies pay corporation tax on their capital gains.

There are annual tax free allowances (the 'annual exempt amount') for individuals, trustees and PRs. Companies do not have an annual exempt amount.

For individuals net gains are added to 'total taxable income' to determine the appropriate rate of tax. The standard rate applies only to the net gains which, when added to total taxable income do not exceed the 'basic rate band'.

Gains which qualify for 'Entrepreneurs' Relief' are charged at 10% for the first £1m.

Individuals 2020/21 2019/20
Exemption £12,300 £12,000
Standard rate 10% 10%
Higher rate 20% 20%
Trusts 2020/21 2019/20
Exemption £6,150 £6,000
Rate 20% 20%

The higher rate applies to higher rate and additional rate taxpayers.

Additionally, higher rates of 18% and 28% may apply to the disposal of certain residential property.

Address

Graham Associates (International) LTD, 180 Piccadilly, London W1J 9HF
Graham Associates (International) LTD, San Marco House, Craig Yr Eos Road, Ogmore By Sea, South Glamorgan CF32 OPG
Graham Associates (International) LTD, 9595 Wilshire Blvd Suite, 900 PMB #155 Beverly Hills, California 90212

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0207 917 1727

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