Call us today

Indexation Allowance to be “removed” from next month

Get in touch today - call Kent on 01634 570 390 or Surrey on 01737 370 493

Book a FREE consultation

If you would like to get some impartial advice, simply book a free consultation and we'll get in touch with you as soon as we can.

Indexation Allowance to be “removed” from next month

The Indexation Allowance, which provides tax-relief for companies’ capital gains, will be frozen from next month to bring the corporate system “into line with personal capital gains tax”.

The measure was announced in Chancellor Philip Hammond’s Autumn Budget.

The Indexation Allowance allows for the effect of inflation when calculating the chargeable gains of companies or organisations.

Removing the relief is expected to cost business owners around £1.8 billion over the next five years. The change will go into effect from January 2018.

The move will affect a number of landlords who have recently incorporated to combat property tax changes – which includes the higher rate of stamp duty for second home owners as well as the gradual loss of mortgage interest relief between now and 2020.

Announcing the change in November, the Chancellor said: “There is a case now for removing the anomaly of the indexation allowance for capital gains – bringing the corporate system into line with personal capital gains tax.

“I will therefore freeze this allowance so that companies receive relief for inflation up to January 2018, but not thereafter.”


Urgent COVID-19 Notice
Working From Home

Our first priority is the health and well-being of our team and our community. Therefore, with a heavy heart we have made the decision to temporarily work from home with immediate effect.

We are listening to the government’s daily updates, taking each day as it comes, and will reopen our offices as soon as it is safe to do so.

If you have any questions or need to discuss any issues at all please do email or call us on our usual number 01634 570 390.

The general email is

We hope everyone is keeping well and staying safe.

This website uses cookies to enhance your browsing experience... moregot it