CGT: choose your rate

For those hoping for yet another twist to the Chancellor's capital gains tax 'simplification' the Budget held little joy. Most of the key information to enable us to advise clients is now in place.

We had the final bit of draft legislation at the end of February and the HMRC website contains some further guidance.

However the long-shot prospect of any further concessions in the Budget has been dashed and subject to any final amendments to the Finance Bill we are left with some stark choices.

From 6 April 2008 individuals trustees and personal representatives will pay CGT at 18% unless they can meet the qualifications to get within entrepreneurs' relief.

This relief is subject to a cumulative lifetime cap of £1 million but up to that level will provide an effective rate of 10%.

HMRC has published a few examples of how the relief will...