naomi realized a chargeable gain of 20700. the gain relates to residential prperty held for investment purpose. taxable income is 29500 nd she contributed 2000 (net) into her personal pension scheme.
here here in solution they increased the band rates but actually it shld not be increase right, 29500 of taxable income is basic rate taxpayer nd band rats r only increased for higher nd additionl rate taxpeys right
CGT takes over any remaining basic rate band that hasn’t been used by taxable income. If PPCs or gift aid donations have been made then the basic rate band is extended, which affects both income tax and CGT.