Capital Gains Tax
| Capital gains tax rates and bands are as follows: |
| |
2010/11 |
2009/10 |
| On chargeable gains |
18% |
18% |
| Annual exemption |
|
|
| - individual |
£10,100 |
£10,100 |
| - most trustees |
£5,050 |
£5,050 |
| |
| Chattels exemption |
|
|
| (proceeds per item or set) |
£6,000 |
£6,000 |
|
Entrepreneurs' Relief
This reduces an individual’s chargeable gain on qualifying assets by 4/9 – an effective rate of 10%. Claims may be made on more than one occasion, up to a “lifetime” total of £2 million (£1 million to 5 April 2010).
Notes
- Transfers between husband and wife or civil partners living together are generally exempt.
- Capital gains of all trusts for 2010/11 are taxed at the standard rate of 18%. Where there are several trusts created by the same settlor, the annual exemption is divided equally between them, subject to a minimum exemption of £1,010 for each trust.
|
