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Can someone do this question for me please? Derek made the following disposals during 2016/17: 1 May 2016: the sale of a painting for 26,000
Can someone do this question for me please?
Derek made the following disposals during 2016/17: 1 May 2016: the sale of a painting for 26,000 which had been purchased in November 2000 for 8,700. 3 July 2016: the sale of a vintage car for 7,000 which had been purchased in May 2013 for 2,000. Derek replaced the engine in June 2013, which had cost 1,300. 17 August 2016: the sale of an award winning greyhound Bob's Boy" for 6,900 which had been purchased in January 2015 for 2,000. 4 October 2016: the sale of an antique dining room table for 7,100, before auction fees of 710. The table had been purchased for 4,200 in May 2015. 23 November 2016: the sale of antique jewellery for 3,000 which had been purchased for 8,000 in July 2013. 3 January 2017: the gift of an antique clock to his sister which had been purchased for 8,500 in July 2004. At the time of the gift, the market value of the clock was 28,500. 5 February 2017: the sale of the family home for 500,000 which had been purchased in May 1990 for 210,000. This was Derek's principal private residence. Derek has capital losses brought forward from the previous tax year of 4,000. His taxable income for 2016/17 is 23,000. Required: Calculate the capital gains tax payable by Derek for 2016/17, making clear your treatment of each item, and state the due date for payment. (20 marks) Derek made the following disposals during 2016/17: 1 May 2016: the sale of a painting for 26,000 which had been purchased in November 2000 for 8,700. 3 July 2016: the sale of a vintage car for 7,000 which had been purchased in May 2013 for 2,000. Derek replaced the engine in June 2013, which had cost 1,300. 17 August 2016: the sale of an award winning greyhound Bob's Boy" for 6,900 which had been purchased in January 2015 for 2,000. 4 October 2016: the sale of an antique dining room table for 7,100, before auction fees of 710. The table had been purchased for 4,200 in May 2015. 23 November 2016: the sale of antique jewellery for 3,000 which had been purchased for 8,000 in July 2013. 3 January 2017: the gift of an antique clock to his sister which had been purchased for 8,500 in July 2004. At the time of the gift, the market value of the clock was 28,500. 5 February 2017: the sale of the family home for 500,000 which had been purchased in May 1990 for 210,000. This was Derek's principal private residence. Derek has capital losses brought forward from the previous tax year of 4,000. His taxable income for 2016/17 is 23,000. Required: Calculate the capital gains tax payable by Derek for 2016/17, making clear your treatment of each item, and state the due date for payment. (20 marks)Step by Step Solution
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