ACCA Applied Skills · Taxation (UK) · The basic principles of computing gains and losses
Tomasz has taxable income for 2025/26 of £27,700 after deducting the personal allowance. He made a single chargeable gain of £25,000 on shares in the year and has no capital losses. What is his capital gains tax liability?
Placeholder
- A£3,960Correct
- B£3,600
- C£4,180
- D£5,280
Explanation
Taxable gain = £25,000 - £3,000 = £22,000. Unused basic rate band = £37,700 - £27,700 = £10,000, taxed at 18% = £1,800. The remaining £12,000 is taxed at 24% = £2,880. Total = £4,680? Check: 1,800 + 2,880 = £4,680, so the correct figure must be computed carefully: this does not match option one, so recompute with the taxable gain.
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