内容分析讲义task capital gain tax business relief改调

1、Capital Gain Tax-Business ReliefGift ReliefGift Relief Gift relief Assets qualifyingBusiness assetsUnquoted shares in a trading companyQuoted shares in aal trading company (> 5%)A:deemed proceeds:less: costless: gift reliefB:base cost=deemed proceeds-gift relieftaxed now(actual gain)第一大模型： 夫妻之间转让

2、模型Rollover relief(gift relief)Notification:Both parties18/19 before 2023/4/5Example 1On 6 May 2018 Angelo sold to his son Michael a freehold shop valued at £200,000 for £50,000, and claimed gift relief. Angelo had originally purchased the shop from which he had run his business for £3

3、0,000. Michael continued to run a business from the shop premises but decided to sell the shop in March 2019 for £195,000.Compute any chargeable gains arising.Gift of qualifying sharesIf the company has chargeable non-business assets at the time of the giftgift relief will be:Total gain ×

4、MV of CBA / MV of CACBA= chargeable business assets (chargeable assets except investments)CA= chargeable assets (assets not exempt from CGT)Example 2Morris gifts shares in hisal company to his sonMinor realizing a gain of £100,000. The market values of the assets owned by the company at the dat

5、e of the gift are:£Freehold factory and offices Leasehold warehouse InvestmentsCurrent assets150,00080,000120,000200,000Show the gain qualifying for hold-over relief and the chargeable gain.Replacement ofBusiness AssetsReplacement of Business AssetsQualifying assetsLand and buildings.Fixed plan

6、t and machinery.ConditionsReplace 12m before 36m after sale第三大模型： Destroyed asset模型Example 3In June 1995 John Field bought some land for £140,000 for use as a fixed asset in his trade. In August 2018 he sold it for £250,000, immediately reinvesting £230,000 of the proceeds in freehold

7、 property for use in his trade.RequiredCalculate the chargeable gain and the base cost of the new asset.Replacement of Business AssetsWhere the replacement asset is a depreciating asset, the gain is not rolled over by reducing the cost of the replacement asset. Rather it is deferred until it crystal

8、lises on the earliest of:a)b)The disposal of the replacement assetThe date the replacement asset ceases to be used in the trade (but the gain does not crystallize on the taxpayer's death)Ten years after the acquisition of the replacement assetc)(um)Example 4Norma bought a freehold shop for use i

9、n her business in June 2015 for £125,000. She sold it for £140,000 on 1 August 2016. On 10 July 2016, Norma bought some fixed plant and machinery to use in her business, costing£150,000. She then sells the plant and machinery for£167,000 on 19 November 2018.Show Norma's gains

10、 in relation to these transactions.Entrepreneurs' ReliefEntrepreneurs' ReliefAssets qualifyingDisposal of whole or part of business (no relief on gains from investments).Disposal of shares in a trading company, where individual has 5% shareholding and is an employee of the companyAssets must

11、 be owned for 1 year prior to disposal.Entrepreneurs' ReliefOperation of relief£10m lifetime limit Gains taxed 10%Gains use up any unused basic rate band in priority to other gainsExample 5Daisy sold his sole trader business on 3 August 2018. Gains arose on chargeable assets as follows:Offi

12、ces Goodwill Investments£450,000£75,000£120,000All assets had been owned for 1 year prior to disposal.On23 March 2019 Daisy sold a 15% shareholding in Puddle which resulted in a chargeable gain of 600,000.Daisy had acquired these shares on 1 June 2005 and had been employee of the comp

13、any ever since.Daisy has taxable income of 10,000 for 2018/19 and capital losses of 15,000 brought forward.Entrepreneurs' ReliefRequiredCalculate Daisys Taxable Gains for 2018/19, assuming Daisy has not previously claimed entrepreneurs relief.Rates of CGT taxable income taxable gains covered by

14、ER relief (10%) other taxable gainsgeneral gains10%20%residential property18%28%Lower rate Higher rate34500Gift aid donation PPSExample 6For the tax year 2018/19, Adam has a salary of £41,000.During the year, he made netal pension contributionof £4,400. On 15 June 2018, Adam sold an antiqu

15、e table and this result in a chargeable gain of £20,000.For the tax year 2018/19,Bee has a trading profit of £60,000. On 20 August 2018 he sold an antique vase and this result in a chargeable gain of £19,500.For the tax year 2018/19,Cee has a salary of £40,000. On 25 October 2018 he sold a residential property and this result in a chargeable gain of £46,500.Example 7For the tax year 2018/19, Douglas does not have any income. On 15 June 2018