TCM4000 Reference Section Inland Revenue Rates and Allowances
Capital Gains Tax

Capital gains tax annual exempt amount 2000 - 2001 2001 - 2002
Individuals, trustees of settlements for the disabled,
and personal representatives of the estate of a deceased person
£7,200 £7,500

The amount chargeable to CGT is added onto the top of income liable to income tax for individuals and is charged to CGT at these rates:
• below the starting rate limit at 10%,
• between the starting rate and basic rate limits at 20%,
• and above the basic rate limit at 40%.

Indexation allowance
Individuals and others within the charge to capital gains tax are not entitled to indexation allowance for any period after April 1998. To calculate indexation allowance up to April 1998 on disposals on or after 6 April 1998, use the table below.

You work out the indexation allowance by multiplying the amount you spent by the indexation factor.
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1982 1.047 1.006 0.992 0.987 0.986 0.985 0.987 0.977 0.967 0.971
1983 0.968 0.96 0.956 0.929 0.921 0.917 0.906 0.898 0.889 0.883 0.876 0.871
1984 0.872 0.865 0.859 0.834 0.828 0.823 0.825 0.808 0.804 0.793 0.788 0.789
1985 0.783 0.769 0.752 0.716 0.708 0.704 0.707 0.703 0.704 0.701 0.695 0.693
1986 0.689 0.683 0.681 0.665 0.662 0.663 0.667 0.662 0.654 0.652 0.638 0.632
1987 0.626 0.62 0.616 0.597 0.596 0.596 0.597 0.593 0.588 0.58 0.573 0.574
1988 0.574 0.568 0.562 0.537 0.531 0.525 0.524 0.507 0.5 0.485 0.478 0.474
1989 0.465 0.454 0.448 0.423 0.414 0.409 0.408 0.404 0.395 0.384 0.372 0.369
1990 0.361 0.353 0.339 0.3 0.288 0.283 0.282 0.269 0.258 0.248 0.251 0.252
1991 0.249 0.242 0.237 0.222 0.218 0.213 0.215 0.213 0.208 0.204 0.199 0.198
1992 0.199 0.193 0.189 0.171 0.167 0.167 0.171 0.171 0.166 0.162 0.164 0.168
1993 0.179 0.171 0.167 0.156 0.152 0.153 0.156 0.151 0.146 0.147 0.148 0.146
1994 0.151 0.144 0.141 0.128 0.124 0.124 0.129 0.124 0.121 0.12 0.119 0.114
1995 0.114 0.107 0.102 0.091 0.087 0.085 0.091 0.085 0.08 0.085 0.085 0.079
1996 0.083 0.078 0.073 0.066 0.063 0.063 0.067 0.062 0.057 0.057 0.057 0.053
1997 0.053 0.049 0.046 0.04 0.036 0.032 0.032 0.026 0.021 0.019 0.019 0.016
1998 0.019 0.014 0.011

Corporation Tax on Chargeable Gains: Indexation Allowance: January 2002
The value of the retail price index, as published by the Office for National Statistics, for January 2002 is 173.3 (January 1987 = 100).

The indexed rise to be used in calculating the indexation allowance in respect of assets disposed of in January 2002 is as follows:
RI Month 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001
January - 1.098 0.996 0.9 0.801 0.733 0.678 0.561 0.45 0.331 0.278 0.257 0.226 0.187 0.154 0.122 0.087 0.061 0.04 0.013
February - 1.089 0.987 0.885 0.794 0.726 0.671 0.55 0.442 0.324 0.271 0.249 0.22 0.18 0.148 0.118 0.081 0.059 0.035 0.008
March 1.181 1.085 0.981 0.867 0.792 0.723 0.665 0.543 0.428 0.319 0.268 0.244 0.216 0.175 0.144 0.115 0.078 0.056 0.029 0.006
April 1.138 1.056 0.955 0.828 0.774 0.702 0.638 0.516 0.385 0.302 0.249 0.233 0.202 0.163 0.136 0.109 0.066 0.049 0.019 0.001
May 1.123 1.048 0.948 0.82 0.771 0.701 0.632 0.507 0.373 0.298 0.244 0.228 0.198 0.158 0.133 0.105 0.06 0.046 0.015 0
June 1.117 1.043 0.943 0.816 0.772 0.701 0.626 0.502 0.368 0.292 0.244 0.229 0.198 0.157 0.133 0.1 0.061 0.046 0.013 0
July 1.117 1.032 0.945 0.82 0.777 0.702 0.624 0.5 0.367 0.295 0.249 0.232 0.203 0.162 0.137 0.1 0.063 0.05 0.016 0
August 1.116 1.023 0.927 0.815 0.772 0.697 0.606 0.497 0.353 0.292 0.248 0.226 0.198 0.156 0.132 0.093 0.059 0.047 0.016 0
September 1.117 1.014 0.923 0.816 0.763 0.692 0.599 0.486 0.34 0.288 0.243 0.221 0.195 0.151 0.127 0.088 0.054 0.043 0.009 0
October 1.107 1.007 0.911 0.813 0.76 0.684 0.583 0.475 0.33 0.283 0.239 0.222 0.194 0.157 0.127 0.087 0.053 0.041 0.01 0
November 1.096 1 0.905 0.807 0.745 0.676 0.575 0.462 0.333 0.278 0.241 0.224 0.193 0.157 0.126 0.086 0.054 0.04 0.007 0
December 1.1 0.994 0.907 0.804 0.74 0.678 0.571 0.459 0.334 0.277 0.245 0.221 0.187 0.15 0.122 0.083 0.054 0.036 0.006 0

The RI month is the month in which the allowable expenditure was incurred, or March 1982 where the expenditure was incurred on or before 1 March 1982. The table given is applicable only to bodies within the charge to corporation tax on their chargeable gains.

Source: HM Government Inland Revenue