Taxation of Chargeable Gains Act 1992

[F1 10 (1) This paragraph applies to a relevant high value disposal where— U.K.

(a) the disposal does not fall within any of Cases 1, 2 or 3 in paragraph 2 of Schedule 4ZZA, or

(b) P has made an election under paragraph 5 of that Schedule in respect of the asset.

(2) The residential property gain or loss accruing on the relevant high value disposal is computed as follows—

• Step 1 Determine the amount of gain or loss which accrues to P. (For the purpose of determining the amount of that gain or loss, no account is taken of section 57C or this Schedule.)

• Step 2 The residential property gain or loss accruing on the relevant high value disposal is equal to the special fraction of that gain or loss.

(3) The “special fraction” is—

where—

“SD” is the number of residential property chargeable days in the relevant ownership period;

“TD” is the total number of days in the relevant ownership period.

(4) “Relevant ownership period” means the period—

(a) beginning with the day on which P acquired the disposed of interest or, if later, 31 March 1982, and

(b) ending with the day before the day on which the relevant high value disposal occurs.]

Textual Amendments

F1 Sch. 4ZZC inserted (with effect in accordance with s. 83(17) of the amending Act) by Finance Act 2016 (c. 24), Sch. 12 para. 5