Ndubuisi 'Andy' EgwimMoney Coach for Medics|Ex-NHS GP|21+ Yrs Investor| Founder, MoneyWiseDoctor.com|Helping Medics Avoid Big Money Mistakes

Will Capital Gains Tax Jump to 39%?

13 Oct 2024 · 1 min

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A short YouTube video by Ndubuisi 'Andy' Egwim explaining what Capital Gains Tax (CGT) is, summarising current UK CGT rates for basic- and higher-rate taxpayers (including different rates for residential property), and noting Labour has hinted at aligning CGT with income tax — which the speaker frames as a rise potentially up to about 39% (mentions 40% in discussion).

Questions this video answers

A tax you pay on the profit from selling an asset (e.g., property or stocks).

10% on assets generally, 18% on residential property.

20% on assets generally, 24% on residential property.

He says Labour may align CGT with income tax, citing figures around 40% and specifically that it could go as high as 39%.

Chapters

Now let's go straight for number one, capital gains tax increases. So capital gains tax or cgt, there's a potential that they could be rising. If you don't already know, CGT is a tax you pay on the profit from selling an asset. For instance, if you sell a property or stocks and you make money, you pay CGT. Currently, basic rate taxpayers pay 10% on assets they sell or 18% on residential property, while higher rate taxpayers pay 20% or 24% when they sell residential property. However, labor has hinted that they might increase CGT rate to align with income tax. So we're talking 40%. So potentially if CGT could go up to as high as 39%.