Association of International Life Offices - CGT reforms - not all doom and gloom

The October pre-Budget proposals to lower the CGT rate from 24% (on gains on assets held for more than 10 years) to a standard rate of 18% would have been welcome news for some UK investors. Also, the proposal to remove indexation allowance and taper relief fulfils a promise to simplify CGT that is long overdue. And, following fierce criticism from a number of business bodies, the Chancellor has reintroduced the 10% rate on the sale of business assets up to £1m. This has to be good news for small businesses. All of these changes, if adopted, will take effect from April 2008. Unfortunate...