Section 104 holding for CGT 22 December 2022 at 11:12AM in Savings & investments 4 replies 143 views

frosty77

Hi there,

Quick section for calculating CGT due on funds (unit trust/oeic):

1) If you have a fund X in investment platform A, and that is a all your holding then CGT due using a section 104 holding (if reqd) is simple.
2) If you have a fund X in investment platform A and investment platform B, then when calculating the section 104 holding for CGT purposes do you go across the two platforms, or do you work on a platform by platform basis? I think you should go across platforms but I'm not sure what HMRC would expect. If you get a capital gains report from the platforms obviously its section 104 holding will be calculated on the units purchased on that platform alone as it will not know about holdings elsewhere.

Thanks for your answers,

Richard

ColdIron

You go across platforms, HMRC don't care where it's held

If it was per platform people could manipulate their positions to misrepresent their true situation

frosty77

ColdIron said:

You go across platforms, HMRC don't care where it's held

If it was per platform people could manipulate their positions to misrepresent their true situation

Many thanks- that’s what I thought. Do you know if the platforms submit CGT reports to HMRC at the end of each tax year (as savings providers are meant to with interest)? I guess if they do what HMRC have logged as your CG compared to what it actually is (in the situation above) could be somewhat different.

ColdIron

Not to my knowledge, many wouldn't know your book cost anyway (transfers etc)

frosty77

ColdIron said:

Not to my knowledge, many wouldn't know your book cost anyway (transfers etc)

Many thanks