Capital Gains Tax

Capital Gains Tax (CGT) is charged at the rate of 25% on the capital gains derived from the disposal or sale of a chargeable asset. The Buyer should deduct CGT from the proceeds made to the Seller for a sale of a Chargeable Asset and remite to the NRA. Chargeable assets include land, buildings, shares etc. The CGT provisions are Sections 57 to 61B of the Income Tax Act 2000 as amended. Although the Buyer withholds the tax, the incidence of the tax is on the Seller.