Chargeable Event Gain submission on 24-25 Self Assessment Tax form

Tea_MAX

Both my wife and I are retired. We have been asked to complete a SA Tax form for 24-25. We are basic rate taxpayers.

We had a chargeable event after the surrender of a joint Personal Investment Plan in that tax year, dated 11/04/24. The amount of gain is £9519 with the amount of tax treated as paid being £1904.

How and in which section of the self assessment do we show the correct figures for tax purposes?

Is it Capital Gains ?

This is the first time we have to fill out a self assessment as we were both on PAYE. Our tax codes have changed numerous times during the year and we're unsure which figures to use for the tax owed for previous years.

Any clarification or help would be very much appreciated.

poseidon1

Assuming you both are completing a paper tax return you will need the additional supplementary form SA101 in addition to the SA 100 , the gain is potentially subject to income tax- see below

https://assets.publishing.service.gov.uk/media/69c25b9ab920af63be1c770c/SA101_2026.pdf

The accompanying guidance notes are linked below-

https://assets.publishing.service.gov.uk/media/69c25b9acfa346b9d4704b20/SA101_Notes_2026.pdf

Essentially, you both will be completing boxes 4 and 5 of the SA101 using 50% of the gross gain (£4759 each).

In calculating whether each of you might have a further income tax liability HMRC will then do a calculation with the gain and the years the policy had run to ascertain 'top slicing relief'.

The relief is explained below, but in short HMRC will divide your gain by the number of years you held the policy. They will then add that result to your other income. Unless that top sliced gain then pushes you into the higher rate income tax band, you will have no further tax to pay beyond the £1904 paid at source

https://www.taxadvisermagazine.com/article/learn-slice-correctly

Tea_MAX

Thanks Poseidon for such a prompt reply.I will study the links provided.