Capital Gains Tax Planning

Capital Gains Tax (CGT) can arise when individuals sell, transfer or gift property, shares, businesses and other valuable assets.

The tax consequences can often be influenced by decisions made before the disposal takes place.

GSC Tax Consultancy provides specialist CGT planning for individuals, shareholders, business owners and families undertaking significant transactions.

What GSC Tax Consultancy Can Do for You

Before a proposed disposal or transfer, we can:

• calculate the estimated Capital Gains Tax liability;
• establish the correct acquisition cost;
• identify deductible acquisition and disposal costs;
• consider enhancement expenditure;
• review available capital losses;
• advise on the timing of disposals;
• consider transfers between spouses or civil partners;
• review Business Asset Disposal Relief;
• consider Gift Hold-Over Relief;
• advise on business incorporations;
• consider share reorganisations and exchanges;
• advise on gifts to family members; and
• model alternative transaction structures.

Our aim is to establish the correct taxable gain and identify available statutory reliefs before the transaction takes place.

Transfers Between Spouses and Civil Partners

Transfers of assets between spouses and civil partners living together can generally take place on a no gain/no loss basis for CGT purposes.

This can make ownership an important consideration before a future disposal.

However, any transfer should reflect the genuine intended ownership of the asset.

HMRC guidance: Capital Gains Tax and spouses and civil partners

Business Asset Disposal Relief

Business Asset Disposal Relief (BADR) can potentially reduce the CGT payable on qualifying disposals of businesses, business assets and shares in qualifying trading companies.

The conditions should be reviewed before the disposal.

We can examine share ownership, voting rights, employment or office-holder requirements, the qualifying ownership period and the company's trading status.

HMRC guidance: Business Asset Disposal Relief

Gift Hold-Over Relief

Where qualifying business assets or shares are gifted, Gift Hold-Over Relief may allow the gain to be deferred rather than creating an immediate CGT liability for the person making the gift.

This can be particularly valuable for family business succession.

HMRC guidance: Gift Hold-Over Relief

Property and Share Disposals

Property and company shares can involve very different CGT rules and reliefs.

Before a substantial disposal, we can calculate the likely liability and consider whether any legitimate planning should take place before contracts become unconditional.

HMRC guidance: Substantial Shareholding Exemption 

Speak to a Capital Gains Tax Specialist

If you are considering selling or gifting property, shares, a business or another valuable asset, obtaining advice before the disposal can preserve planning opportunities.

Contact GSC Tax Consultancy for a confidential discussion about your Capital Gains Tax position.

This page provides general information only. Specific advice should be obtained before disposing of or transferring assets.