The Capital Gains Tax regime changed dramatically from 6 April 2008, with the headline rate of tax for individuals becoming 18%, which was a considerable reduction to the previous highest Capital Gains Tax rate of 40%.
However, many tax reliefs were abolished at the same time, although after considerable pressure from the public and the financial press, one new relief was introduced to cut the tax rate on business assets being disposed of, entitled “Entreprenuer Relief”. There are a number of differences to this application of this relief when compared to its predecessor Business Asset Taper Relief, though.
If you are considering selling an asset, it is always advisable to discuss the taxation consequences in advance, as it is often too late to take action that might reduce the taxation burden once a sale has taken place.
Talk to our Capital Gains Advisors in Devon to obtain advice on Capital Gains Tax mitigation
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