Capital gains of a partnership

Produced by a Tolley Owner-Managed Businesses expert
Owner-Managed Businesses
Guidance

Capital gains of a partnership

Produced by a Tolley Owner-Managed Businesses expert
Owner-Managed Businesses
Guidance
imgtext

This guidance note details the capital gains tax rules for partners. For the tax on partnership profits, rather than gains, see the Trading profits of a partnership guidance note.

This note assumes a general knowledge of capital gains tax for individuals and companies. For detailed guidance on capital gains of individuals, see the Introduction to capital gains tax guidance note. For companies, see the Calculation of corporate capital gains guidance note.

See also Simon’s Taxes B7.406 onwards.

This note does not consider the tax position of foreign partners or of partnerships controlled abroad; see Simon’s Taxes B7.515 for this detail.

Stamp duty land tax should also be taken into account on transfers of land by partnerships, for more details see the Introduction to stamp taxes guidance note and other guidance notes in the same sub-topic. In addition there is specific commentary in ‘Analysis ― SDLT and partnerships’ by Susan Dennis and Adam Kay in Tax Journal, Issue 1641, 10, (17 November 2023).

Allocation of gains in partnerships

Once it is established that an asset is

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
Powered by Tolley+
  • 25 Nov 2025 12:00

Popular Articles

What are connected companies for loan relationship purposes ― practical approach

What are connected companies for loan relationship purposes ― practical approachBrief overview of the rulesThe loan relationships legislation applies to any ‘money debt’ arising from the lending of money entered into by a company, either as a lender or borrower. The rules are contained in CTA 2009,

20 Apr 2021 16:00 | Produced by Tolley Read more Read more

Class 1 v Class 1A

Class 1 v Class 1AClass 1 and Class 1AClass 1 and Class 1A are the categories of NIC that can be charged on expenses reimbursed and benefits provided to employees. These classes are mutually exclusive. A benefit cannot be subject to both Class 1 and Class 1A NIC. Three requirements must be met

Read more Read more

First year allowances

First year allowancesFirst year allowances (FYAs) are available on the following items:•first-year relief on qualifying new main rate plant and machinery (at 100%, which is described by HMRC as ‘full expensing’) and special rate assets (at 50%) from 1 April 2023 (companies only). These FYAs were

14 Jul 2020 11:41 | Produced by Tolley Read more Read more