Capital Gains Tax -Capital Distribution
Posted: March 21st, 2019, 8:55 pm
If I have a share holding and the company makes 2 capital distributions in earlier tax years, then I dispose of the remaining holding in the current tax year, presumably all the capital gain should be counted in the current year ?
Hypothetically:
Purchase cost 10,000 shares @ £1 = £10,000
Capital distribution in 2016-17 = £5000
Capital distribution in 2017-18 =£5000
Sold 10,000 shares in 2018-19 for £1000.
Capital gain presumably = £1000, all attributable to 2018-19 tax year as it's impossible to identify if a gain has been made before this point ?
[And no I am not going to pay a tax expert, since the amount is small and my objective is to work out how much other stuff I can sell and be below this years CGT allowance]
Hypothetically:
Purchase cost 10,000 shares @ £1 = £10,000
Capital distribution in 2016-17 = £5000
Capital distribution in 2017-18 =£5000
Sold 10,000 shares in 2018-19 for £1000.
Capital gain presumably = £1000, all attributable to 2018-19 tax year as it's impossible to identify if a gain has been made before this point ?
[And no I am not going to pay a tax expert, since the amount is small and my objective is to work out how much other stuff I can sell and be below this years CGT allowance]