Tax rates & allowances

Capital Gains Tax

  2017/18 2016/17
Annual exemption
Individuals, estates £11,300 £11,100
Most trusts 5,650 5,550
Tax rate
Individual (to basic rate limit)* 10% 10%
Individual (above basic rate limit)* 20% 20%
Entrepreneurs' Relief (ER)** 10% 10%
Trusts, estates* 20% 20%

* Individuals are taxed at 18%/28% on gains on residential property and receipts of carried interest. Trusts are taxed at 28% in these circumstances.

** ER is available for lifetime gains of up to £10m. Qualifying disposals include a trading business and shares in a trading company (from a minimum 5% holding) by an officer/employee. Various conditions apply.

Shares in an unquoted trading company may be eligible for a 10% CGT rate on lifetime gains up to £10m, if disposed of after 5 April 2019 by someone who is neither a paid officer nor employee of the company (Investors' Relief).

Tax rates 2017-2018PDF document