Glossary · Tax
Capital Gains Tax (CGT)
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Definition: Tax on the profit when you sell an asset (shares, second home, business) that has risen in value, above the annual exempt amount.
The annual exempt amount was cut to £3,000 from April 2024. Rates from April 2024 (revised in the October 2024 Budget): 18% basic-rate / 24% higher-rate on most gains, including residential property. Gains on your main home are usually exempt under Private Residence Relief.
Primary source: gov.uk/capital-gains-tax