CGT Date of Disposal Query

rossmunro94

Hello

I have forgotten to use my CGT AEA Allowance for 24/25.

If I sell an OEIC tonight, will that still be considered a 24/25 Financial Year sale for tax purposes?

https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg14250

This manual leads me to believe the answer may be Yes as the contract will have been made in FY 24/25. But I can see the logic for "No" given that the agreed price will now be determined in 25/26.

Many thanks in advance

masonic

Any OEIC order you submit now will not be executed this tax year. It will sit in a queue until Monday.

rossmunro94

I understand it won't be executed before FY 25/26 but I thought the guidance was potentially referencing the date at which I submit the sale, which would be today, as the date of disposal and therefore a 24/25 sale?

masonic

rossmunro94 said:

I understand it won't be executed before FY 25/26 but I thought the guidance was potentially referencing the date at which I submit the sale, which would be today, as the date of disposal and therefore a 24/25 sale?

You can request it now, but it won't be submitted until Monday. To dispose on a particular date, you would normally need to request the sale at least a couple of hours ahead of the fund's valuation point on that day. This could be as early as 10 am for some funds, but nothing will be submitted to the fund house outside of business hours. If you miss the cut-off time, then your request will be processed on the next working day.

What date are you expecting to appear on the contract note, which you will receive late Monday or early Tuesday (depending on platform)?

IanManc

rossmunro94 said:

Hello

I have forgotten to use my CGT AEA Allowance for 24/25.

If I sell an OEIC tonight, will that still be considered a 24/25 Financial Year sale for tax purposes?

https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg14250

This manual leads me to believe the answer may be Yes as the contract will have been made in FY 24/25. But I can see the logic for "No" given that the agreed price will now be determined in 25/26.

Many thanks in advance

You have issued an instruction to your platform to sell the OEIC. The contract is not made at that point.

The disposal take place in the next tax year. The platform submits the sale request to the OEIC manager and the contract is made at the point of disposal when OEIC manager accepts the sale request and the settlement date is fixed.

You can't unilaterally make a contract by submitting a sale instruction. There has to be a sale request and an acceptance to form a contract.