Chartered Accountants and Business Advisers
Chartered Accountantsand Business Advisers

Capital Gains Tax

On chargeable gains                                                       2021/22         2020/21
On the disposal of residential property interests and carried interest:                  
Up to income tax basic rate limit   18%   18%
Over income tax basic rate limit   28%   28%
       Trust rate   28%   28%
On other chargeable gains:        
       Up to income tax basic rate limit   10%   10%
       Over income tax basic rate limit   20%   20%
       Trust rate   20%   20%
Annual exemption for individuals   £12,300   £12,300
Annual exemption for most trustees   £6,150   £6,150

Business asset disposal relief

Capital gains qualifying for business asset dsposal relief are taxed at 10%.  Business asset disposal relief can be claimed on more than one occasion up to a "lifetime" limit of £1 million of qualifying capital gains. 

 

Transfer of assets between spouses and civil partners

Transfers of assets between spouses and civil partners are generally not chargeable disposals for capital gains tax purposes.

Inheritance Tax

                                                    2021/22         2020/21
Nil rate band              £325,000   £325,000
Maximum combined nil rate band:        
Married couples and civil partners   *£650,000   *£650,000
Rates of Inheritance Tax:        
Chargeable lifetime transfers   20%   20%
Transfers on, or within 7 years of, death above the nil rate band   **40%   **40%

An additional residence nil rate band applies when a home transfers on death to direct descendants of the deceased after 5 April 2017. The residence nil rate band for 2021/22 is £175,000.

 

*any nil rate band not used on a person's death can be transferred to their surviving spouse or    civil partner

**subject to a tapered reduction for transfers between 3 and 7 years before death

Office hours

Monday - Friday

9.30 am to 5.00 pm

Address

Clive Shedd & Co

Chartered Accountants
232 Sladepool Farm Road  

Birmingham     B14 5EE

Making an appointment

If you wish to make an appointment please contact us:

 

Tel:     0121 474 4774

Fax:    0121 474 4766

Email: mail@cliveshedd.co.uk

or use our contact form.

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