The Capital Gain Tax is the tax that is applicable on the profit that you make when you dispose something or more specifically an asset that has appreciated in value. Here it is important to note that the tax is applicable on the amount of profit that you make from the sale and not on the value that you receive. For the purpose of calculation of capital gain tax, disposing of an asset includes the following:
- Selling it
- Transferring it to someone else or giving it away as a gift
- Exchanging or swapping it for something else
- Getting compensation in case you have lost it or it has been destroyed
Capital gain tax is payable on the gain after the disposal of the asset on certain things while it is not payable on certain other gains that you make.
Calculation of the capital gain tax in the proper manner is very essential. Therefore, taking the services of a professional accounting firm always helps. Rayvat accounting has always endeavored to give the best Accounting Services to its UK clients.
Contact to Rayvat for any queries regarding Capital Gain Tax.