Tax Rates & Allowances - Capital Gains Tax

This information is prepared for guidance only. We recommend that you contact us for advice before acting on any information contained on this page and we cannot accept responsibility for any action taken without such advice.

Capital Gains Tax

Annual exempt amount 2011/12: individuals £10,600, most trustees £5,300. An individual's net gains after all reliefs, losses and annual exempt amount are added to income and taxed at 18% (basic rate band) and 28% (higher rate band). For trusts, the CGT rate is 28%.

Entrepreneurs' relief

For disposals of sole trade or interest in a partnership trade, or shares in a trading company by an officer or employee owning at least 5%, the gain (up to the lifetime allowance) is taxed at a 10% rate of CGT. The lifetime limit is £10m from 6.4.11 (previously £5m from 23.6.10-5.4.11; £2m from 6.4.10 - 22.6.10, £1m pre- 6.4.10).

Designated Members : M.J. Jay, F.C.A. • P.E. Farrow, F.C.C.A., A.C.A. • J.W. Hall, F.C.C.A., A.C.A. • J.R. Turner, Dip. P.F.S., A.I.F.P. • R.D. Gray, A.C.I.B. • S.J. Edwards, F.C.A.
Member: S.T. Boote, B.Sc (Econ), F.C.A.

Offices at King's Lynn and Downham Market. Registered to carry on audit work and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales. Mapus-Smith & Lemmon LLP is a registered limited liability partnership.