Personal Taxation - Taper Relief

moosh Registered Posts: 28 Regular contributor ⭐
I am revising for the PTE tomorrow morning and am now confused by taper relief.

In the unit 19 book, chapter 6 it states that the percentage of taper relief depends on how many full years since 6 April 1998 the asset has been owned before it was disposed of.

In the student Activites section for chapter 6 - question 6.4 - I calculate the number of complete years owned as being 8 years + 1 bonus year (from April 1998 - June 2006 and then 1 bonus year as the asset was bought in May 1995). This would mean the gain is subject to a charge of 65%

However, in the answer to this question is states 9 + 1 bonus year = 60% charge.

If there is a question like this in tomorrow's exam, how am I supposed to answer - what is the correct method for calculating taper relief?

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