The short version: A chattel is a physical, moveable personal possession. Think paintings, jewellery, furniture, vehicles, antiques. Anything tangible that you can move from place to place.
How is it different from an asset?
An asset is anything valuable, whether physical or not. Bitcoin is an asset but not a chattel. A vintage watch is both an asset and a chattel.
Chattels don’t have to be valuable either. Your old sofa is technically a chattel, even if it’s worthless. Assets, by definition, have value.
Do I pay Capital Gains Tax on chattels?
It depends on the sale price and how much profit you made. Personal possessions sold below a certain threshold are usually exempt from CGT. Above that, the rules get a bit more complex.
If you’re selling something valuable like jewellery or art, it’s worth checking whether you’ll owe tax on the gain.
Is money a chattel?
No. Even though cash is physical and moveable, it’s not classed as a chattel. It’s simply money.
Selling something valuable and not sure if there’s tax to pay? Let us know and we’ll tell you where you stand.
