Certain assets are exempt from capital gains tax on their disposal, e.g.
an individual's only or main residence, and those that are not exempt are called chargeable assets.
September 2006 77.53 Capital gains and losses Capital gains tax was introduced with effect from 06 April 1965 to tax the capital gains made by individuals, personal representatives and trustees.
When an asset is disposed of, the profit or loss on disposal is a capital gain or loss.
If the trustee disposes of assets, any gains on disposal are liable to capital gains tax and the tax is payable as an expense in the bankruptcy, in due order of priority [note 4].
77.58 Taxable threshold for inheritance tax Inheritance tax is not chargeable where the total estate of the deceased person (including potentially exempt lifetime transfers and chargeable lifetime transfers) is below a certain amount.
A running total is kept of chargeable lifetime transfers and inheritance tax is not payable either on lifetime gifts or wealth at death below a certain threshold.