The normal rules of Capital Gains Tax apply in dealing with the affairs of a person up to the date of death. These are supplemented by additional rules dealing with the treatment of

assets held by the deceased on the date of death of which he or she was competent to dispose

gifts made by donatio mortis causa

and

unused allowable losses arising in the year of death

Annual exemption

There is no restriction imposed on the amount of the annual exemption for a year in which an individual dies. The whole of the exemption is available to set against gains arising in that year however short the period from 6 April to the date of death.

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