Relatively few people pay CGT each year – about 260,000 in 2007/08 according to HMRC estimates - but it can have a very considerable impact when it is payable.
CGT is charged on your net gains, ie the total chargeable gains that you realise on disposals during a tax year after deducting total allowable losses that you have realised in the same year or brought forward from previous years.
There were major changes to CGT from 6 April 2008. CGT is now charged at a flat rate of 18% on all gains. Taper relief and indexation relief have been abolished - but not the other reliefs (eg for main residences). There is also a new 'entrepreneurs' relief' for certain business assets.
Companies are subject to corporation tax on chargeable gains that are calculated according to modified CGT rules.Last Updated
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Capital gains tax
01: Introduction
The FSA does not regulate tax advice. Tax rules are subject to change.
