Capital Gains (SA900)
The screens for entry of capital gains can be found from the data input tab within a tax return. Select ‘+ Add a new section…’, a new window opens. The Capital Gains section allows you to enter details of chargeable gains and losses for the tax year.
You may choose to enter summaries of all the capital gains information which needs to be reported on the Tax Return, or you can enter individual disposals and allow Taxfiler to calculate and summarise the gains and losses.
- Use the Disposals tab to add, edit and delete disposal transactions in the year.
- The Foreign tax tab
- The Non-resident tab
- Other events
Summary of disposals
This tab will display the summarised Capital Gains information that will appear on the Tax Return. If you have not entered any disposals in the disposals tab then all the summary fields will be editable.
Losses brought forward
- ‘Loss brought forward from 1996-97 and later years’
- ‘Loss brought forward from 1995-96 and earlier years’
Lifetime allowances brought forward
- ‘Entrepreneurs’ Relief claimed in prior years’ (new from 2020/21 onwards) – enter the amount of Entrepreneurs’ Relief claimed in prior years. This amount will be added to any amounts of Business Asset disposal relief claimed in the current tax year.
- ‘Investors’ Relief claimed in prior years’ (new from 2020/21) – enter the amount of relief claimed in prior years. For more information see HS308
Allocate losses against gains
- ‘Net gains in [year]’
- ‘Income losses set against gains’
- ‘Post 1996-97 losses used against gains’
- ‘Pre 1996-97 losses used against gains’
- ‘Gains after losses’
Calculation
- ‘Is computation being attached to return?’
- ‘Number of existing trusts made by same settlor’ Enter the number of trusts where the Annual exempt amount is to be apportioned for the same settlor.
- ‘Annual exempt amount’ This amount will populate with the current years Annual exempt amount, it is an editable field and can be removed in those instances where it is no longer applicable i.e. estates that run over the two year limit See HMRC Guide
- ‘Taxable gains for the year’ Taxfiler shows the gains after losses less the Annual exempt amount.
- ‘Relief for vulnerable beneficiary’
Losses to carry forward
- ‘Post 1996-97 loss to carry forward’
- ‘Pre 1996-97 loss to carry forward’
Additional text note for Tax Return
Enter any additional information you wish to appear in the white space of the tax return.
Disposals
Within the disposals tab you will need to click on ‘+Add disposal’ to open a new window for each disposal in the tax year. To edit a disposal, click on its description, displayed in blue, to delete a disposal click on its description to edit it and the click on ‘Delete disposal’ button
- Chargeable Disposal
- ‘Brief description of asset’ enter a brief description of the asset being disposed
- ‘Type of asset’ choose the type of asset from the drop-down list
- UK Residential property
- Non-UK residential property (2020/21 onwards)
- Other land and property
- Carried interest
- Listed shares and securities
- Unlisted shares and securities
- Other assets
- ‘Date of disposal’ enter the date of disposal, which should be within the current tax year
- ‘Proceeds’ enter the sale proceeds. If the sale is to a connected person you may need to enter the market value , for additional guidance refer to HMRC https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg14480p
- Costs etc
- ‘Date acquired’ enter the date that the asset was acquired
- ‘Cost’ enter the original acquisition cost. If not known, you may need to provide a market value estimate. Refer to HMRC for additional guidance
- Acquisition & enhancement costs and allowable expenditure
You can enter any number of lines of acquisition cost and enhancement expenditure.
- ‘Description’ enter a brief description of the cost or allowable expenditure.
- ‘Amount’ enter the amount
- Reliefs claimed
You may enter any number of reliefs
- ‘Description’ enter a brief description of the relief
- ‘Amount claimed’ enter the amount of relief claimed
- Calculated Gain/(Loss)
- ‘Calculated gain/(loss)’ this field will show the calculated gain or loss
- ‘Override the calculated gain?’ tick this box if you wish to override the gain calculated by Taxfiler
- Details
- ‘Address of property’ (only applicable when disposing of property) select ‘change address’ to choose the property address, refer to ‘change address’ support notes for further information
- ‘Qualifies for Entrepreneurs’ relief’ (Tax Years prior to 2020/21) tick the box if the disposal qualifies for Entrepreneurs Relief. Refer to HMRC https://www.gov.uk/entrepreneurs-relief
- ‘Qualifies for Investors’ relief?’ Tick the box if the disposal qualifies for Investors’ relief. This relief can only be claimed by Trustees of an Interest in Possession Trusts on disposals of Unlisted shares and securities.
- ‘Qualifies for Business Asset Disposal Relief’ This replaces Entrepreneurs’ Relief from 2020/21. This relief can only be claimed by Trustees of Discretionary Trusts and Estates of Deceased persons on the disposal of ‘Other assets’. Tick the box if the disposal qualifies for Business Asset Disposals relief. Refer to HMRC https://www.gov.uk/business-asset-disposal-relief
- ‘Estimate or valuation used?’ tick the box if an estimate or valuation was used
- ‘CG34 submitted?’ tick the box if a valuation was used and a CG34 has been submitted to HMRC. Note that Taxfiler does not produce a CG34.
- ‘Details of connected person’ If the disposal was to a connected person, enter their name.
- “Are these gains from disposal of excluded indexed securities?” Tick this box if the gains arising are from the disposal of a excluded indexed security. The amounts included here will exclude the effects of any losses or reliefs. (This option is for types Listed and Unlisted shares and securities and Other property, assets and gains from 2022/23).
- “Are these gains/(losses) from QAHC share repurchases and security redemptions?” Tick this box if the gains or losses arising are from share repurchases and security redemptions. The amounts included here will exclude the effects of any losses or reliefs. (This option is for types Listed and Unlisted shares and securities and Other property, assets and gains from 2022/23).
- ‘Tax charged on CGT return’ from 2020/21 tax year. Enter the amount of tax charged following the submission of a UK property disposals tax return 30 days following the disposal.
- ‘Foreign tax (for tax credit relief)’
- Full description of asset
- Details of estimate or valuation (if CG34 not submitted)
Foreign tax credit relief
Taxfiler will not calculate the foreign tax credit relief on gains. Please enter manually
- ‘Gains on which foreign tax paid’
- ‘Total foreign tax’
- ‘Foreign tax credit relief’
Additional text note for Tax Return
Enter any additional information you wish to appear in the white space of the tax return.
Non-resident Capital Gains Tax Return
- ‘Submitted a Non-resident Capital Gains Tax return for disposal of property?’
- ‘Total taxable gains or losses from Non-resident Capital Gains’
- ‘Non-resident Capital Gains Tax already charged’
Additional text note for Tax Return
Enter any additional information you wish to appear in the white space of the tax return.
Other events in the year
Select ‘+ Add event’ a new window will open where you can choose the type of event to add
- Death of person holding interest in possession in property
- Person becoming absolutely entitled to property
- Trustees ceased being UK resident, or become dual resident
Death of person holding interest in possession in property
- ‘Name of life tenant, life renter etc‘
- ‘Address‘ select ‘change address’ to enter or change the address, see entering addresses for further information.
- ‘Date of death’
Person becoming absolutely entitled to property
- ‘Name of beneficiary’
- ‘Address‘ select ‘change address’ to enter or change the address, see entering addresses for further information.
- ‘Date became absolutely entitled’
- ‘Nature of asset’
- ‘Value of asset vesting’
- ‘Amount of loss transferred to beneficiary’
Trustees ceased being UK resident, or became dual resident
- ‘Description of assets held’
- ‘Date of change’
- ‘Amount of chargeable gains’