tax savings never looked so beautiful

It was the use of a Capital Gains Tax (CGT) concession that helped Radio 2 DJ Chris Evans avoid paying tax when he splashed out £12m on a rare 1963 Ferrari 250 GTO.

Chris a car enthusiast helped fund the purchase by selling other Classic cars from his collection. He did not have to pay tax on the profit from those sales.

Like any other wasting asset, (items classed as having a useful life of less than 50 years) Classic cars, old clocks, watches, racehorses and most fine wine, etc. are exempt from CGT.

Also exempt from CGT are Sovereigns and Britannias, because they are classed as legal currency.

Personal possessions (often referred to as ‘chattels’) such as antiques, artworks or silverware etc. which are sold for less than £6,000 each are also exempt from CGT.

So, it is possible to buy something which you love and enjoy with the added bonus of a tax free gain when you sell it on.