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Capital Gains Tax

 

Capital Gains Tax is a tax on the gain or profit you make when you sell, give away or otherwise dispose of something that you own, such as shares or property. There's a tax-free allowance and some additional reliefs that may reduce your Capital Gains Tax bill. Sometimes you may have no tax to pay.

 

What is Capital Gains Tax?

Capital Gains Tax is a tax on the profit or gain you make when you sell or ‘dispose of’ an asset.

You usually dispose of an asset when you cease to own it - for example if you:

 

·       sell it

·       give it away as a gift

·       transfer it to someone else

·       exchange it for something else

·       receive compensation for it - e.g. you receive an insurance payout when an asset's been destroyed

It's the gain you make - not the amount of money you receive for the asset - that's taxed.

With the tax regime becoming more complex and more emphasis being put on taxpayers' individual responsibilities, everyone who is subject to taxation needs professional advice and support.

At Amin & Co, Accountants we hope you will find our approach refreshing - we optimize your tax position and ensure you meet all the compliance requirements.

Every pound of income tax you save means more income at your disposal, every well planned disposal of assets means minimal loss to capital gains, and every inheritance tax saving means more wealth for your beneficiaries

You may have to pay Capital Gains Tax if you make a profit or gain when you sell, give away, exchange or otherwise dispose of all or part a business asset.

A business asset could be shares, land and buildings, a business franchise, fixtures and fittings or even the goodwill of the business, i.e. its good name or reputation.

 

If you own your own business, or you're a member of a partnership, you usually have to report capital gains and losses on your Self Assessment tax return.

 

It's different if your business is carried on by a limited company, in which you may be a director or shareholder - any profits on assets disposed of form part of the total profits of the company on which it pays Corporation Tax.

Capital gains tax may be very complicated.  There are many exemptions and adjustments that can be availed from tax man, which may lead to significant tax savings.  It is advisable that you seek the advice of a professional accountant who is best suited to help you with calculating your capital gains tax liability.

If you are a small business owner or individual considering selling an asset or business, we can advise on any reliefs that may be available and of the possible capital gains tax charges that may arise. 

Amin & Co, Accountants will be able to recommend more beneficial ways of planning your affairs going forward in order to possibly reduce any future tax liabilities. We offer competitive pricing and are very flexible.

 

 

 

 

 

 

If you would like to discuss any of the issues raised, please call us on 0161 224 3510 or complete our enquiry form and we will call you back.

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Amin & Co Accountants Ltd

Company Registration No. 8470501 Registered in England & Wales

Member of Institute of Financial Accountants

Studio 3, Longsight Business Park, Hamilton Road, Manchester, M13 0PD

Tel: 0161 224 3510

Fax: 0560 146 3781

Email: info@aminandcoaccountants.co.uk

Solution for all your accounts, book keeping, tax, VAT and payroll matters

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