Taxes Consolidation Act 1997 section 31

Amount chargeable

Section 31 sets out how capital gains tax is calculated by reference to chargeable gains and allowable losses.

• Capital gains tax (CGT) is charged on the total chargeable gains a person makes in a year of assessment.
• Any allowable losses made in the same year are deducted from the total gains before CGT is calculated.
• Unused allowable losses from earlier years may also be deducted, provided they have not already been claimed against gains in a previous year.
• Losses incurred before the 1974–75 tax year cannot be carried forward or deducted.