772. Annual Exemption. | Taxation Law | LexisNexis

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772. Annual exemption.

If an individual is chargeable to capital gains tax (CGT) for a tax year¹ on chargeable gains², the annual exempt amount for the year is to be deducted from those gains (but no further than necessary to eliminate them)³. Individuals have an annual exempt amount, which for 2020–21 is £12,300⁴

(1) Taxation Of Chargeable Gains

768. The charge to capital gains tax.

769. Capital gains tax (CGT).

770. CGT and companies.

771. CGT rates.

772. Annual exemption.

773. The residence rules in relation to a chargeable person.

774. Residence and domicile for CGT purposes.

775. Non-resident or non-domiciled individuals.

776. Non-resident companies.

777. Double taxation reliefs.

778. ATED-related gains of non-natural persons.

779. Non-resident capital gains tax ('NRCGT') gains.

780. Chargeable gains.

781. Allowable losses.

782. Indexation allowance for companies.

783. Gains and losses generally.

784. Meaning of 'assets'.

785. Examples of assets.

786. Exempt assets.

787. Meaning of 'wasting asset'.

788. Chattels disposed of for £6,000 or less.

789. Other chattel exemptions.

790. Rights of action.

791. Winnings.

792. Shares or securities.

793. Capital distributions.

794. Employee share schemes and share incentives.

795. Loans, Debts and Covenants.

796. Options.

797. Leases.

798. Land.

799. Disposals.

800. Part disposals.

801. Capital sums derived from assets.

802. Receipt of compensation and insurance money not treated as a disposal.

803. Assets lost or destroyed, or the value of which becomes negligible.

804. Exempt events and disposals.

805. Disposals between spouses and civil partners.

806. No disposal on death.

807. Time of disposal and acquisition where asset disposed of under contract.

808. Time of disposal in relation to conditional contracts.