ALL CHANGE FOR CGT

摘要

The Budget 2016 in March introduced some significant capital gains tax (CGT) breaks for owner managers and shareholders of private companies. Before the Budget, some had feared the 10% CGT entrepreneurs' relief (ER) might be restricted or withdrawn. Yet the Chancellor delivered a firm indication that the 10% ER CGT rate remains a cornerstone for owner managers' taxation. Furthermore, the 10% CGT rate was also extended to long-term investors in unlisted trading companies under a new style 'investors relief (IR). However, the 'surprise' Budget rabbit was the reduction in the headline CGT rate to 20% (previously 28%). A 28% CGT rate remains for disposals of residential property but this is not considered further here.