Illustrations - £6,000 rule
You'll learn how the £6,000 chattels exemption works in capital gains tax, including when assets are fully exempt and how to calculate gains or losses when proceeds or cost exceed the threshold.
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In this lesson
- 0:00 The £6,000 chattels exemption rules
- 0:39 Applying the exemption to different assets
- 1:41 Proceeds above £6,000 cost below £6,000
- 3:09 Cost above £6,000 proceeds below £6,000
About this lesson
This video walks through the key rules—such as why cars and wasting chattels are always exempt, and how to apply the special formula when only one side of the transaction exceeds £6,000. Essential for TX and ATX papers, this technique appears regularly in both objective tests and case studies.
Duration: 4m
Transcript
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