In April the CGT annual exemption will be halved for the second successive year from £6,000 down to £3,000.
Thanks Jeremy!!
A few points to consider if you have investments subject to CGT such as Personal Portfolios (PPs) and General Investment Accounts (GIAs).
– Some or all of the annual CGT allowance may already have been used on disposals earlier in the year. These could include the sale or gift of any asset and the rebalancing of portfolios may also have generated gains.
– You may be able to double your CGT exemption to £12,000 this year if they are able to transfer assets to your spouse.
– You can use losses to set off your gains. Losses made in earlier tax years don’t have to be used in the current tax year. You may elect to use some or all of these losses in the current tax year or continue to carry the loss forward to future years.
– With the cut to the annual exemption also came new reporting limits. Self-assessment will always be needed if gains exceed the exempt amount meaning there is tax to pay. But even if the gain is below the £6,000 exemption a tax return will still be required if the total proceeds of sale exceed £50,000.
For more information then please contact us here at Blueberry, or your accountant, so we can chat through your situation.
