| Annual exempt amount 2004/05: individuals £8,200, trustees £4,100. Relief given for effect of inflation for periods of ownership up to April 1998. Taper relief is based on complete years of ownership after 5 April 1998 (with one year added for ownership on 17.3.98 in the case of non-business assets): |
| Complete years owned for taper purposes: |
% of gain charged |
Taper increases at 5% p.a. for non-business assets up to a maximum of 10 years (40% relief).
Net gains after all reliefs and annual exempt amount are taxed at marginal income tax rates for interest income (ie 10%, 20%, 40%). |