CAPITAL gains tax is the money you pay to HMRC when you sell something that has gone up in value, such as stocks and shares, artwork or even a second home. Historically, the rates you pay are quite low and there are lots of exemptions, but chancellor Rishi Sunak is considering changing the rules to help plug holes in the UK’s finances left by the coronavirus crisis. Here’s everything you need to know about capital gains tax including who pays it, what you pay it on, how much you are charged and the possible changes to come. Which items trigger capital gains tax? You pay capital gains tax, also known as CGT, on the profits you make when you dispose of certain items that have gone up in value. “Disposing” is when you choose to sell something, give it away, swap it, or if you get compensation for it – such as an insurance payout. You get a tax-free allowance each year, and you only have to pay tax on any profits you have above that amount.This year, the tax-free allowance is £12,300 for individuals and £6,150 for trusts. Even if you are below the threshold you might have to… Read full this story
- Universal Credit boost and tax hikes among 12 key financial changes in 2021 you need to look out for
- Tax parity with ULIPs tops Afmi's wish list ahead of Union Budget
- Best tax software for 2021: TurboTax, H&R Block, Jackson Hewitt and more compared
- Explained: Why cryptos are gaining currency globally
- Britain's richest pocket even more than we thought, according to a new study
- 18 key dates and changes that could hit your finances this year – and how to fix them
- How Congressional Control has Changed Over the Past 100 Years
- VIETNAM BUSINESS NEWS JANUARY 1
- 15 educational video games for kids in quarantine (that are actually fun)
- Deadline’s Disruptors To Remember In A Year To Forget
What is capital gains tax and how do you calculate it? have 310 words, post on www.thesun.co.uk at July 15, 2020. This is cached page on X-Buy. If you want remove this page, please contact us.