Capital Gains Tax

Information About Capital Gains Tax

  • If an individual is resident in the UK, Capital Gains Tax is payable on their assets in the UK and overseas.
  • Gains on Life Assurance investments are not liable for Capital Gains Tax but are assessed to income.
  • All gains under a non-qualifying policy are taxable whereas only gains in the first ten years might be taxable under a qualifying policy.
  • Buy to Let investments do not qualify for Entrepreneur’s relief.
  • Losses on the sale of a second home managed as a furnished let property is allowable against other gains for Capital Gains Tax.
  • Where someone has more than one home, they must elect their main residence within two years of owning the second property.
  • The annual exemption of £11k cannot be carried forward if unused.
  • A gift to someone who’s not a spouse is a disposal and liable for Capital Gains Tax.