I saw this in other thread, and can't understand it.
Example: Fund worth 1.5m at start of year. you make 5% of 1.5m; fund now worth 1.575m
Cash in 25.4k; that's 1.6% of your holding
Capital Gain = .016 x (1.575 - 1.5) = 1,200
The point is that you have only realised a small fraction of your capital gain
Surely you are charged 33% CGT on the 75k gain?
Sorry for not understanding this but would really appreciate some clarity! TY
Example: Fund worth 1.5m at start of year. you make 5% of 1.5m; fund now worth 1.575m
Cash in 25.4k; that's 1.6% of your holding
Capital Gain = .016 x (1.575 - 1.5) = 1,200
The point is that you have only realised a small fraction of your capital gain
Surely you are charged 33% CGT on the 75k gain?
Sorry for not understanding this but would really appreciate some clarity! TY