Merrill Lynch Investment Managers is offering a software package aimed at helping investors calculate capital gains tax.
The software calculates the tax payable on transactions and produces a full CGT report for the investor.
MLIM says fund managers and private clients will no longer have to deal with the regulatory complications of CGT or spend hours on complex tax calculations before being able to make informed investment decisions.
The product comes as a response to CGT rules introduced by the Government in 1998. Fund managers need detailed knowledge of the taper relief available, the loss offset available and the potential gains.
The system calculates the CGT consequences of transactions incorporating the new tapering rules. MLIM says this will help speed up investment decisions as investors will have prior knowledge of CGT implications.
The system will also provide a summary of transactions at the end of the tax year, including taper relief. The figures can also be entered directly into the clients' tax returns.
Portfolio manager and director Robert Dunbar says: “We believe our fund managers should be able to focus on getting investment decisions right without having to work out the tax intricacies of every transaction. MLIM's software provides the relevant gains calculations, allowing swift investment decisions to be made.”