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Following a request from the Chancellor, the Office of Tax Simplification (OTS) has launched ‘Capital Gains tax review - call for evidence’ plus an online survey. It wants to hear from taxpayers and their advisers about which areas of Capital Gains Tax are complex and hard to get right and suggestions for improvements.

There are two stages to the call for evidence. The first seeks high-level comments on general principles, by 10 August 2020. The second call, originally with a 12 October deadline extended to 9 November, invites detailed comments on the technical detail and practical operation of Capital Gains Tax (CGT). This second deadline should give the government time to include any changes it wishes to make to CGT in their Autumn/Winter 2020 budget.

The aim of the review is to explore ways to simplify both the technical aspects and the administration of CGT. It will focus on the following areas:

These are broadly split between nine different categories:

The online survey starts with a quiz and asks various questions about individual experiences in dealing with CGT such as type of asset disposed of, awareness of reliefs, and use of an adviser in reporting disposals.

Responses to the call to evidence should be sent to This email address is being protected from spambots. You need JavaScript enabled to view it..

Links

CGT: Reliefs, disposal of a business or its assets
This guide provides an outline of the main Capital Gains Tax (CGT) reliefs which may apply when an individual or company replaces or disposes of a business asset, or a business, or shares in a company.

How to calculate a capital gain or loss
Our freeview guide to how to compute a capital gain (or loss) for individuals and trustees.

Reporting capital gains: How to?
How do you report your capital gains? What return do you use? This guide sets it all out for you.

PRR: Private Residence Relief
What is Private Residence relief (PRR)? What are the qualifying conditions? Can you claim relief on two homes? How do you claim PRR? Can you claim PRR if you develop your garden? A guide for paid subscribers. 

External link

Capital Gains Tax review - call for evidence