CGT hike could see 1 million pay more tax
Number of investors paying CGT could quadruple if the government the toughest of its proposals
A million investors would find themselves caught in the CGT-paying net if all
of the Liberal Democrats proposals are pushed through.
The coalition government formed between the Conservatives and Nick Clegg’s
party hammered out a makeshift plan to reduce the public deficit, which included
a move to bring the 18% rate of CGT closer to the 50% top rate of income tax.
The Liberal Democrats also want the tax to be levied below the current
starting level of a £10,100 profit on any investment income.
A threshold of £2,000 has been mooted. Deloitte has estimated this would see
the number of investors forced to pay CGT each year quadrupling to about a
million, according to
the
Daily Telegraph.