Taper Relief ???????
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Can anyone help sort out my confusion over taper relief ...<BR><BR>Osbourne PTC book page 6.9 - the percentage depends on how long after 6th April 1998 the asset was owned before it was disposed of. The percentages... are based on the number of complete years of ownership of the asset that occur aftern 6th April 1998. No allowance is paid for partial years. For non business assets acquired before 17th March 1998 an extra 'bonus' year is added to the actual number of years.<BR><BR>Example - Shares purchased in June 1998 and disposed of 18/05/2004. I take this as 5 years = 85% taper relief. Ie june 98 start base - Jun 99, jun 00, jun 01, jun 02 & jun o3 = 5 years. So taking it from the month of purchase in the relevant year and working out on whole years. So far so good.<BR><BR>However, what about assets acquired before the dates above? Do you take it as complete tax years after 06/04/98 for assets purchased before that date? <BR><BR>ie. Antique Dresser purchased in July 1996 and disposed of on 01/06/2004? <BR><BR>I make this 7 years - Apr 98 base year, to Apr 99, 00, 01, 02, 03, 04 = 6 years plus one 'bonus' year = 7 years total. <BR><BR>Or do you say July 96 :. start as July 98 as the base and go July 99, 00, 01, 02, 03 :. = 5 years plus one 'bonus' year = 6 years?<BR><BR>What is the correct way? Can you help?<BR><BR>
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Taper Relief ???????
Your first answer is the correct one, ie. start counting the years from 06/04/98 for assets purchased before this date, plus a bonus year if purchased before 17/03/98. The actual purchase date is irrelevant.0 -
Taper Relief ???????
Yep, your first answer being correct.... and don't forget to add an additional 5% relief for the bonus year :-)<BR><BR>Regards<BR><BR>Dean0 -
Taper Relief ???????
Many thanks for your help<BR><BR>Ally0