80.2K

Verified Solution

Link Copied!

David and Angela Brook are a married couple. They disposed of the following assets during the tax year $2023/24$:

Jointly owned property

$($a$)$ On $29$ July $2023,$ David and Angela sold a classic Ferrari car for $34,400.$ The car had been purchased on $17J$ anuary $2014$ for

$27,200.$

$($b$)$ On $30$ september $2023,$ David and Angela sold a house for $381,900.$ The house had been purchased on $10$ otober $1997$ for $86,000.$

David and Angela occupied the house as their main residence from the date of purchase until $31$ March $200$I. The house was then

unoccupied between I April $2001$ and $31$ December $2004$ due to Angela being required by her employer to work elsewhere in the UK$.$ From

$1$ January $2005$ until $31$ December $2016,$ David and Angela again occupied the house as their main residence. The house was then

unoccupied until it was sold on $30$ sept ember $2023.$

David Brook

$($a$)$ On $18$ April $2023,$ David sold an antique table for $5,600.$ The antique table had been purchased on $27$ May $2009$ for $3,200.$

$($b$)$ On $5$ May $2023,$ David transferred his entire shareholding of $20,000$l ordinary shares in Bend company to Angela. On that date, the

shares were valued at $64,000.$ David's shareholding had been purchased on $21$ June $2009$ for $48,000.$

Angela Brook

$($a$)$ On $5$ May $2023,$ Angela sold an antique cabinet for $1,200.$ The antique cabinet had been purchased on $14$ June $2009$ for $3,700.$

$($b$)$ On $7$ July $2023,$ Angela sold $15,000$ of the $20,000$ ordinary shares in Bend company that had been transferred to her from David. The

sale proceeds were $62,400.$ Angela has taxable income of $40,000$ for the tax year $2023/24.$ David does not have any taxable income.

Required: Compute David and Angela's respective capital gains tax liabilities for the tax year $\frac{2023}{24}$ and state the due date

for payment.

Answer & Explanation Solved by verified expert

See Answer