Selling shares this year?
Understanding Capital Gains Tax allowances (£3,000), tax rates (18%/24%), share pooling rules, and key reliefs when disposing of shares.
If you are selling shares or other investments, you may incur Capital Gains Tax (CGT) on any profit or ‘gain’ you make. You pay CGT on total gains above your annual tax-free allowance (£3,000). Rates are 18% for basic rate taxpayers and 24% for higher/additional rate taxpayers.
Exemptions apply to gifts to spouses/civil partners or charities, shares held in an ISA, and UK government gilts. Costs like stockbrokers’ fees and Stamp Duty can be deducted from your gain.
Disclaimer
The information contained in this article is for general guidance on matters of interest only. It should not be used as a substitute for consultation with professional accounting, tax, legal, or other competent advisers. Before making any decision or taking any action, you should consult a Kingscott Dix professional.