Chris Evans escapes CGT on car sale

A capital gains tax (CGT) loophole has allowed presenter Chris Evans to
escape unscathed from the taxman after he splashed out £12m on a rare 1963
Ferrari 250 GTO this month.

Evans funded the purchase with the sale of his classic cars but did not have
to pay CGT on the profits
reported, although no figure on how much profit he made has
been disclosed.

Profits from car sales are not subject to CGT payments and form a mix of
investments which are exempt. For example items which have a lifespan of less
than 50 years such as, racehorses and most fine wines.

Personal possessions such as artwork, antiques or silverware which is sold
for less than £6,000 are also CGT free.

David Kilshaw, partner at KPMG, said:”These are all specialist areas. People
buy these assets because they know them and enjoy them, not as a tax break. The
CGT exemptions are just a bonus.”
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