Capital Gains Tax

Helping you understand your obligations

When you dispose of an asset, you might face a significant tax bill on any gain or profit you make. This is called capital gains tax and results in people paying more to HMRC than necessary every year.

As professional tax accountants, we can help you understand your situation and advise you on how best you can manage the disposal of your assets in the most tax-efficient way possible. We’ll process all the calculations for you and make sure you pay any tax you owe to HMRC on time so you avoid penalties and investigations.

Capital gains tax applies to ‘chargeable assets’, which includes most of your personal possessions above £6,000. There are some exclusions, including your car, property that’s not your main home and business assets.

The tax is charged at a higher rate on residential property than other assets, but you can reduce your liability by thinking about ownership structure and making use of tax-free allowances.

You have to report capital gains on property sold after 27 October 2021 to HMRC within 60 days – you can’t wait until your annual tax return. For more information about capital gains, don’t hesitate to get in touch with us.