Calculated risk
Article Abstract:
Assessing liability for United Kingdom capital gains tax involves calculating indexation allowances. Investors are first able to use allowances, which were 6,800 pounds sterling for 1998 to 1999. This is the net gain, since losses are taken into account. The rate of taxation is the highest level paid by a taxpayer. Gifts are viewed as gains, using their market value for calculations. Some asset types do not bring capital gains tax liability. New rules relating to taper relief have been introduced in the United Kingdom.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1999
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Windfall tax bills
Article Abstract:
United Kingdom investors who received windfall stocks in 1997 are concerned about their tax position. The tax authorities treat free stocks as having been acquired for nothing and capital gains tax is due when the stocks are disposed of. Cash bonuses do not normally mean capital gains tax is due, though tax is liable for cash bonuses from insurers if they are deemed to be for disposing of membership rights. Both holders of joint accounts areliable to pay capital gains tax.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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