4) Capital Gains Tax (CGT)
Captial Gains Tax is generally applicable if you sell, give away, exchange or otherwise dispose of any assets, including a property and as a result make a profit.
There are exemptions, for example, your main residence (property), private cars, personal belongings etc, subject to qualifying criteria.
From a tax planning perpective it is worth noting that:
- The tax is paid just on the profit, not the overall sale proceeds.
- Both personal allowances can be used for jointly owned assets
- Assets can be transfered between you if you are married or in a registered civil partnership without CGT being charged