Why a higher CGT rate may not mean most business owners pay it

With speculation mounting that the forthcoming Budget could see capital gains tax (CGT) rates increased to align with income tax rates, many business owners are understandably concerned. A headline rate of 45% would represent a significant increase from current levels and would, on the face of it, materially alter the economics of selling a business. However, one of the recurring themes of UK tax policy over the last sixty years has been the recognition that businesses are fundamentally different from passive investments. Governments of all political persuasions have repeatedly accept...