Investment - Articles - Capital Gains Tax up 11 percent on last year

 Simon Martin, Head of UK Technical Services at Utmost Wealth Solutions, a leading provider of insurance-based wealth solutions, commented: "The increase in rates and tightening of the annual exemptions at the Autumn Budget is expected to increase Capital Gains Tax receipts by nearly 50% in this 2025/26 tax year, reaching around £20 billion. The annual CGT Bulletin released by HMRC last month uncovered record property disposals in 2024/25 as taxpayers looked to sell assets before the new regime was implemented demonstrating the behavioural changes made around the Budget. January will see the reporting of CGT incurred on all other asset sales, such as shares and non-residential property, in 2024/25 through self-assessment forms hence the expectation of a bumper tax year in 2025/26.”

 "Inheritance Tax is an increasingly lucrative revenue stream that is now delivering all-time high totals for the Treasury year after year – and this Financial Year is currently firmly on track for another record. Given the reforms already announced to the IHT regime alongside the ongoing freeze to thresholds, we would expect more and more estates to continue to tumble into the IHT tax net. With public finances under strain, given the rumours currently circulating it would appear increasing likely that the Chancellor will look at the Inheritance Tax regime yet again at the upcoming Autumn Budget. A careful balance would need to be struck between further revenue-raising measures and any additional loss of confidence in the UK following some of the recent reported outflows of wealth. With further changes to be implemented over the coming two years, we continue to see strong and growing demand for financial advice. Families are looking to understand how the new rules may affect their estate planning amid a wider rethink of intergenerational wealth strategies."