How Capital Gains Tax Accountant Can Save You Money?

What is Capital Gains Tax?

Capital Gains Tax (CGT) refers to the taxation of the financial gain realised from the sale or disposal of assets, representing the appreciation in value that occurs between the acquisition and the sale. In Ireland, CGT is charged on chargeable gains, which are calculated as the difference between the sale price and the asset’s original purchase price. The standard rate of CGT is 33%, and it applies to most assets, except for some exemptions such as the principal private residence. Key Dates:

• 15 December 2024: Deadline for paying CGT for disposals made between 1 January 2024 and 30 November 2024.
• 31 January 2025: Deadline for filing your tax return and paying CGT for disposals made between 1 December 2024 and 31 December 2024 of the previous year.

What Does a Capital Gains Tax Specialist Accountant Do?

A capital gains tax specialist accountant provides expert guidance on managing and minimising CGT liabilities. Their role includes:

• Advising on CGT planning and compliance.
• Identifying available exemptions and reliefs.
• Assisting with tax returns and payment deadlines.
• Offering strategic advice on asset disposal to optimise tax outcomes.

Their experience ensures that you navigate all legal requirements seamlessly while capitalising on every available tax benefit.

7 Ways a Capital Gains Tax Accountant Can Save You Money

1. Identify and Apply CGT Exemptions

A specialist accountant will help you understand and apply exemptions from CGT. For instance, gains from the sale of your principal private residence are generally exempt. They can also identify other exemptions or reliefs applicable to your specific situation.

2. Optimise Use of CGT Reliefs

There are various reliefs available, such as the Entrepreneur Relief and Rollover Relief, which can reduce your taxable gain. A specialist accountant will ensure that you take full advantage of these reliefs, reducing your overall CGT liability.

3. Plan Asset Disposal Timing

Strategic timing of asset disposals can influence your CGT liabilities. A capital gains tax accountant will advise you on the best time to sell or dispose of assets to minimise tax impacts, considering factors such as the initial period of ownership and the chance that chargeable gains could be spread across different tax years.

4. Accurate Calculation of Chargeable Gains

Properly calculating your chargeable gains is crucial to ensuring you only pay the correct amount of tax. A specialist accountant will accurately determine your gains, factoring in allowable deductions and adjustments to reduce your taxable profit.

5. Ensure Timely Filing and Payment

Sticking to tax deadlines is crucial to steer clear of any penalties. A capital gains tax accountant will help you meet all important deadlines, such as filing returns due by 31 January and paying CGT payment due by 15 December for transactions made earlier in the year.

6. Strategic Use of Losses

If you have incurred losses on other assets, a specialist accountant can help you offset these losses against your gains, reducing your overall CGT liability. This strategy can be particularly useful if you have income tax or other tax liabilities in the same tax year.

7. Comprehensive Tax Planning

A specialist accountant offers holistic tax planning services, including advice on capital gains tax CGT, capital acquisitions tax (CAT), and stamp duty. They will develop a tailored plan to manage your tax liabilities effectively and pass wealth to the next generation.

Do You Want to Save on Capital Gains Tax?

At John Maguire & Co, we offer capital gains tax services with expert advice on Capital Gains Tax (CGT), Capital Acquisitions Tax (CAT), and Stamp Duty. Our services include CGT planning and compliance, identifying CGT exemptions and reliefs, managing CAT on gifts and inheritances, and strategic Stamp Duty advice. Let us help you optimise your tax position and achieve significant savings.

Conclusion 

A capital gains tax specialist accountant plays a crucial role in minimising your tax liabilities and ensuring compliance with Irish tax regulations. For personalised tax planning and expert advice, contact John Maguire & Co today to see how we can help you manage and reduce your capital gains tax effectively.