A professional but approachable Tax Advisor

 

Julia Savage is a Chartered Tax Advisor who specialises in all areas of personal tax advice. 

I can assist you with looking after you and your family's tax affairs and dealing with HM Revenue & Customs on your behalf. 

My approach is professional but personal and can be tailored to suit you around modern busy lives.  

 

Tax Specialisms Contact Us

 

 

Julia Savage Tax Accountant
 
 

Contact me

By phone: 01525 55 22 50
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Do you have a second home or rental property? Or perhaps a small portfolio of investments? Do you understand the capital gains tax position on the disposal of these or other assets?

Capital gains tax is due on any gain realised on the disposal of assets such as shares in the company you work for or land that you own, amongst many examples. Gains realised on the disposal of some specific assets are exempt. Examples include motor vehicles and your main family home.

Firstly, gains realised are offset by the annual exemption. For 2015/16 this is £11,100, and if your gains are less than or equal to this, then no capital gains tax is payable.

If your gains realised are greater than the annual exemption, they are taxed at 18%, provided you are a basic rate tax payer. This increases to 28%, if you are a higher rate tax payer.

The capital gains are reported on supplementary pages to the tax return, and so similar to income tax, gains realised in any year ended 5 April, have to be disclosed to HM Revenue & Customs by 31 January of the following year and the capital gains tax is also payable then. If you’re not already registered for self-assessment (see the page under the heading Tax Return Preparation) then you should let HMRC know you need to complete a tax return by 31 October following the end of the tax year.

If unfortunately you have realised a loss on the disposal of an asset, then this is also reported on the tax return. Different sorts of capital losses can be utilised in different ways, but enlarge losses are usually carried forward to be offset against your next available chargeable gains. This is another area on which I am happy to advise you on.

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