Have you sold, gifted or transferred any assets between 1st January – 30th November 2021? If Capital Gains Tax (CGT) is due on these, this must be paid by 15th December 2021.
Payment deadlines for CGT are as follows:
- Disposals between 1st January & 30th November due by 15th December same year
- Disposals between 1st December & 31st December due by 31st January the following year
How do I know if CGT is due?
Firstly, you need to calculate if you made a chargeable gain on your asset. CGT is calculated on the chargeable gain only and not the full amount you receive and is calculated as follows:
| Chargeable gain = disposal price less purchase price & costs |
There are various expenses, exemptions, and relief available from CGT, which you should seek advice on in preparing your CGT return. Each individual is entitled to a personal exemption of €1,270 for each tax year, any gain over this threshold is subject to Capital Gains Tax. Some allowable expenses can also be deducted from the sale of an asset such as; enhancement expenses or professional fees i.e. solicitor.
What if I made a loss?
If you have made a loss on the disposal of an asset, you can carry this forward to be offset against any future gains. You should still file this loss with Revenue Commissioners to place it on record.
When and how do I file CGT?
Your CGT payment is due on the above deadline dates. However, the figures involved in reaching your CGT liability is required to be included in your Income Tax Return by the 31st October the following year.
Have a question on CGT or need assistance? Should you have any queries on this issue, please contact us on 01 5397999 or info@itasaccounting.ie
Please note this article is for information purposes and does not constitute advice. Details correct at time of publishing.