Introduction and computation: annual exempt amount: exploitation of annual exempt amount: Annual exempt amount: example
L and M are trustees of property subject to a deed of settlement made in 1970.
The exempt amount for the year 2014-15 is £11,000 and so the trust exemption is £5,500.
The trustees made chargeable gains of £9,000. There are no losses brought forward.
The taxable amount, see CG18031, is
If there were losses of £4,000 brought forward, £3,500 of these losses would be used to reduce the gains to the amount of the exemption. The balance of £500 losses would be carried forward.