Onshore Bond Chargeable Gains

Hi, Can I ask, if an onshore bond is encashed and this realises a chargeable gain of >£10,000, does this need reporting to HMRC by self assessment even though the gain + other income is within the persons basic rate tax band, and hence no tax liability arises? Thanks Anthony Kalli

Hi,

Yes, it still needs to be reported on a tax return.

Thank you.

Hi, thanks for reply. So, if the gain from onshore bond is less than £10,000 and again no tax liability arises because it still falls within the basic rate tax band including all other income, does this need reporting to HMRC? I cannot find any guidance regarding the £10,000 threshold for reporting chargeable gains anywhere? Thanks

Hi,

If your capital gain is fully covered by your annual capital gains tax free allowance and you do not meet any other Self Assessment criteria, you do not have to complete a Self Assessment tax return. 

Check if you need to send a Self Assessment tax return

Thank you.