Self Assessment online and the changed rate of CGT

[Panamax]

I have adjusted my initial message, see below.

Edited by Panamax on Sunday 18th May 14:23

[Panamax]

CGT rates were increased with immediate effect in Rachel Reeves' budget of 30 October 2024, so if you disposed of some stuff before the budget and some stuff after you will have two different rates of CGT.

Doing SA online it's clear the system couldn't cope with being doubled-up for the change of rates and HMRC have introduced the fiddle-factor of an "Adjustment Amount" instead.

• In your SA return you enter all of your details about all transactions and the system calculates tax at the old, lower rates.
• You then have to go to another page and enter any transactions made on or after 30 October 2024
• HMRC's computer then calculates the extra 4% tax (or whatever)
• HMRC's computer then looks at what transactions took place up to 30 October and what transactions took place on or after 30 October and allocates your £3,000 tax free allowance to whichever transactions would otherwise suffer your highest rates of CGT.
• The output of this is a separate report which tells you an "Adjustment Amount" which you must then manually enter in your SA return, and also attach a copy of the report. There is no indication of how the Adjustment Amount has actually been calculated.

And all of this from the same HMRC that claims to be pressing on with Making Tax Digital. What a pantomime.

Here's a link to Adjustment Amount,
https://www.gov.uk/guidance/work-out-your-capital-...