Capital gains tax is a form of taxation that applies when you sell an asset that has either a certain value or falls under certain criteria.
The tax applies to:
- Personal assets, or items, that are worth over £6,000, apart from a car
- Property that isn’t the owner’s main home
- A home used for business
- A home that has been let out
- A very large home (grounds of more than an acre)
- Non PEP or ISA shares
- Business assets
There’s a tax-free allowance of £11,300. Any gains under this price are not taxed.
