Call 0800 781 8783 - email principal@lloydbottoms.co.uk

Capital gains tax

CGT and Inheritance 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.

Download our TaxApp Now

Tax rates, tips and calculators at your fingertips

Find out more

Register for newsletter

Why not register to receive our Monthly Newswire?

Find out more

Try a site search Tax return, dividends, pension, budgets...

Contact us | Site map | Accessibility | Disclaimer | Privacy |

Regulated by the Institute of Chartered Accountants in England and Wales for a range of investment business activities.

Lloydbottoms Chartered Accountants, 118 High Street, Staple Hill, Bristol BS16 5HH

We are a member of the Institute of Chartered Accountants in England and Wales and in our conduct are subject to its Code of Ethics which can be found at www.icaew.com/en/members/regulations-standards-and-guidance/ethics. This is available in English.

We confirm that we are licensed to carry on general accountancy and tax practice by the Institute of Chartered Accountants in England and Wales. Details about our registration as practicing members of the Institute of Chartered Accountants in England and Wales can be viewed at http://find.icaew.com using our postcode.

© 2021 Lloydbottoms Chartered Accountants. All rights reserved. We use cookies on this website, you can find more information about cookies here.