In line with the latest amendments to government guidance, HMRC has simply updated the document on gov.uk and not clarified particular changes. However, there are links to the notes inside the HS288 guidance, which have clearly been amended.

The main amendments come in the accompanying notes where HMRC appears to have simplified the guidance, providing clearer explanations of each item to be completed and reporting requirements for carried interest, and any details of gains or losses on disposals where entrepreneurs’ relief has been claimed.

This document now includes clearly numbered boxes (relating to the itemised boxes on the return form), running from one to 54, each explained unlike in the past where the notes were fairly haphazard.

Losses set against 2016-17 capital gains can only be brought forward to reduce gains to the ‘annual exempt amount’ for the year. For the 2016 to 2017 tax year, the annual exempt amount is £11,100 for individuals and £5,550 for most trustees.

HMRC stresses that there are special rules for:

• non-residents who dispose of UK residential property including partners in a partnership; and
• investment managers who receive performance-linked rewards often referred to as carried interest see Investment managers: Capital Gains Tax treatment of carried interest (July 2015).

The HMRC states that ‘these notes are for guidance only and reflect the position at the time of writing. They do not affect the right of appeal’.

HS288 Partnerships and Capital Gains Tax (2017) guidance, issued on 27 April 2017, is available here

The HMRC capital gains notes tax year 2016/17 are available here