CAPITAL GAINS TAX – principal private residence relief – whether appellant occupied property for the purposes of section 222 Taxation of Chargeable Gains Act 1992 – appeal dismissed Citations: [2019] UKFTT 704 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 20 November 2022; Ref: scu.646909

CAPITAL GAINS TAX – whether payment exempt by virtue of s 51(2) Taxation of Chargeable Gains Act 1992 – No – appeal dismissed Citations: [2019] UKFTT 483 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 27 October 2022; Ref: scu.641299

CAPITAL GAINS TAX – principal private residence relief – whether appellant’s sequential stay at two properties qualified as residence or only a temporary stay for the purposes of section 222 Taxation of Chargeable Gains Act 1992 – appeal dismissed Citations: [2019] UKFTT 488 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 25 … Continue reading Fitzjohn v Revenue and Customs (Capital Gains Tax/Taxation of Chargeable Gains : Exemptions and Reliefs): FTTTx 27 Jul 2019

CAPITAL GAINS TAX – relief on disposal of private residence – extent of permitted area – whether the permitted area exceeded 0.5 of a hectare – s.222(3) Taxation of Chargeable Gains Act 1992 Citations: [2020] UKFTT 381 (TC) Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 222(3) Jurisdiction: England and Wales Capital Gains Tax … Continue reading Phillips v Revenue and Customs (Capital Gains Tax – Relief On Disposal of Private Residence): FTTTx 30 Sep 2020

CAPITAL GAINS TAX – disposal of three residential properties in three consecutive tax years – whether the properties had been the appellant’s residences – whether her occupation of the properties had the necessary degree of permanence, continuity or expectation of continuity – held on the evidence that it did not – sections 222 and 223 … Continue reading Hashmi v Revenue and Customs (Capital Gains Tax – Disposal of Three Residential Properties): FTTTx 20 May 2020

FTTTx CAPITAL GAINS TAX – Tax avoidance scheme; trusts; sale of shares; put option; effect of contingencies, whether sale of trust assets to Irish trust under option agreement, subsequent sale for market value and ‘repatriation’ of the trust to Scotland avoids liability to capital gains tax; or whether there is a single composite transaction on … Continue reading Morrison 2002 Maintenance Trust, The Trustees of and Others v Revenue and Customs (Capital Gains Tax/Taxation of Chargeable Gains : Disposal): FTTTx 13 Apr 2016

Capital Gains Tax – s 222 Taxation of Capital Gains Act 1992 – discovery assessment of capital gains on sale of residential property and fixed penalty for failure to include the gains in a self-assessment return – whether principal private residence exemption applies – no – appeal dismissed [2018] UKFTT 770 (TC) Bailii England and … Continue reading Booth v Revenue and Customs (Capital Gains Tax/Taxation of Chargeable Gains : Disposal): FTTTx 21 Dec 2018

CAPITAL GAINS TAX – section 222 Taxation of Chargeable Gains Act 1992 – principal private residence relief – whether appellant occupied property – whether property main residence of appellant – appeal dismissed . .

FTTTx INCOME TAX – loss relief for loans to traders – s253 Taxation of Chargeable Gains Act 1992 (‘TCGA 1992’) – whether payments made by appellant in respect of interest on bank loans to property trading company . .

Citations: [20Q8] EWCA Civ 858, [2009] Bus LR 629, [2008] BTC 443, [2009] 1 WLR 1349, [2008] STC 3116, [2008] STI 1873 Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 179(2) Jurisdiction: England and Wales Capital Gains Tax Updated: 20 December 2022; Ref: scu.271035

substantial shareholding exemption – schedule 7AC Taxation of Chargeable Gains Act 1992 – paragraphs 7 and 15A – whether relief available when the shares have been owned by a company in a group for less than 12 months – no Citations: [2021] UKFTT 69 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: … Continue reading M Group Holdings Ltd v Revenue and Customs (Substantial Shareholding Exemption): FTTTx 12 Mar 2021

This case is about the taxation of capital gains of groups of companies under the Taxation of Chargeable Gains Act 1992 (the 1992 Act). The appeal turns on the construction of section 177A of and Schedule 7A to the 1992 Act. Those provisions place restrictions on the set-off of ‘pre-entry losses.’ They were inserted in … Continue reading Prizedome Ltd and Another v Revenue and Customs: CA 12 Mar 2009

The occupation of a property as an ‘own or main residence’ is a question of fact and degree and ordinary usage. In this case, five weeks occupation by the taxpayer was insufficient to establish the exemption. Citations: Times 02-Mar-1998, Gazette 25-Mar-1998, [1998] EWCA Civ 271, (1998) 70 TC 478 Statutes: Capital Gains Tax Act 1979 … Continue reading Goodwin v Curtis (HM Inspector of Taxes): CA 18 Feb 1998

The taxpayer disposed of his farmhouse, and sought exemption from Capital Gains Tax under sections 101 and 102 of the 1989 Act. The Revenue said it had not been his only or main residence. Contracts had been exchanged for its purchase in 1983, but the transaction was completed only two years later. In the interim … Continue reading Longson v HM Inspector of Taxes: CA 13 Mar 2001

The taxpayers sought relief after giving shares in a company to another company owned by themselves. The taxpayers appealed refusal of hold over relief in respect of chargeable gains. Held: The holdings in the recipient company made the companies connected with each other. The section was plainly intended to provide this result, even though that … Continue reading Foulser and Another v Macdougall: CA 17 Jan 2007

The taxpayer sought capital gains tax relief of a loan to a business. Held: To succeed in his claim the taxpayer had to establish that the indebtedness created was to be used entirely to serve the borrower’s business. Judges: The Honourable Mr Justice Patten Citations: [2004] EWHC 1596 (Ch), Times 22-Jul-2004 Links: Bailii Statutes: Taxation … Continue reading David Robson v Eric Mitchell (HM Inspector of Taxes): ChD 8 Jul 2004

Capital Gains Tax. Private residence relief. Section 222 Taxation of Chargeable Gains Act 1992. Whether 25 days’ occupation was ‘residence’. Held: no, on the facts. Goodwin v Curtis [1998] BTC 176, CA applied. Citations: [2014] UKFTT 436 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 25 September 2022; Ref: scu.526827

UTTC CAPITAL GAINS TAX – section 38(1)(b) Taxation of Chargeable Gains Act 1992 – whether expenditure incurred ‘on’ an asset and ‘reflected in the state or nature of the asset at the time of disposal’ – whether expenditure incurred ‘in establishing, preserving or defending title to, or to a right over, the asset Citations: [2015] … Continue reading Revenue and Customs v Blackwell: UTTC 13 Aug 2015

UTTC CAPITAL GAINS TAX – exchange of shares for debentures – whether TCGA 1992 s 137 applies to each shareholder separately – no – whether Special Commissioner entitled to conclude that the main purpose was tax avoidance – yes – appeal dismissed Judges: Avery Jones CBE Citations: [2010] UKUT 114 (TCC), [2010] STI 2112, [2010] … Continue reading Coll and Coll v HM Revenue and Customs: UTTC 5 Mar 2010

FTTTx Disposal of a substantial shareholding by a company – exemption from corporation tax under Sch 7AC TCGA 1992 – whether a non-compete agreement pursuant to share sale agreement and for which part of agreed share sale price had been apportioned should be treated as a separate sale or deemed disposal of goodwill and therefore … Continue reading Williamson Tea Holdings Ltd v Revenue and Customs: FTTTx 6 Jul 2010

Judges: Lord Neuberger MR, Longmore LJ, Smith LJ Citations: [2010] EWCA Civ 118 Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 286(5)(b), Income and Corporation Taxes Act 1988 416(2) Jurisdiction: England and Wales Capital Gains Tax Updated: 14 August 2022; Ref: scu.401793

CAPITAL GAINS TAX – taper relief- disposal of shares-periods when shares qualified consecutively as non-business assets and as business assets-how to allocate gain arising in the two periods-Taxation of Chargeable Gains Act 1992 Schedule A1 paragraphs 3 and 21 Citations: [2020] UKUT 363 (TCC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 09 … Continue reading Lee, Bunter v Revenue and Customs: UTTC 21 Dec 2020

The taxpayer entered into a scheme for the issue and disposal of corporate loans. He appealed a finding that the loans were caught by section 115 which disallowed exemption because they did not represent a normal commercial loan. Held: It was a requirement that the debt ‘has at all times represented a normal commercial loan’, … Continue reading Weston v Garnett (Inspector of Taxes): ChD 25 Jun 2004

The taxpayer appealed a refusal of full taper relief on the sale of a share for one million pounds, declining to allow any relief for the period prior to April 5 1998. Held: There was no basis in the statute for seeking any other interpretation than that indexation allowances were only allowed for gains after … Continue reading O’Sullivan v HM Inspector of Taxes: ChD 6 Oct 2005

The taxpayer had put money into a enterprise zone property unit trust. That money had gone into refurbishment. Several years later the property was sold with a substantial profit, and the trust managers arranged the distributions so that no balancing charge arose. Held: The Act did not work so as to restrict the application of … Continue reading HM Revenue and Customs v Smallwood: CA 17 May 2007

SCIT Capital Gains – Retirement Relief on the grounds of ill-health – incapable of engaging in work of a kind previously undertaken in the business and likely to remain permanently incapable – medical evidence did not support a finding of permanent incapacity – Appeal dismissed (Paragraph 3(1)(b), Schedule 6, Taxation of Chargeable Gains Act 1992). … Continue reading Palmer v HM Inspector of Taxes: SCIT 22 Mar 2005

The taxpayer had the benefit of option as an employee in his company scheme. He exercised the option and the issue arose as to when the base value of the options were to be valued for capital against tax purposes. The taxpayer argued that they were to be valued at the point where they were … Continue reading Mansworth (Inspector of Taxes) v Jelley: ChD 20 Mar 2002

Revenue’s appeal from allowance of claim for rollover relief Citations: [1999] EWHC 845 (Ch), [1999] BTC 184, [1999] STC 594, 71 TC 376 Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 152 Jurisdiction: England and Wales Capital Gains Tax Updated: 27 June 2022; Ref: scu.341197

A non-resident employee had been given share options exercisable at the price of the shares on the New York Stock Exchange at the date of the grant. The Inland Revenue appealed a decision that the option was to be valued as at the date of grant, rather than at the time it was exercised. Held: … Continue reading Mansworth (Inspector of Taxes) v Jelley: CA 12 Dec 2002

SCIT CAPITAL GAINS TAX – valuation of shares – TCGA 1992 ss 35(2), 55(1), 272(1), (2), 273 – small unquoted company – nature of material hypothetical purchaser would take into account – approach to be adopted Citations: [2004] UK SPC00418 Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 35(2) 55(1) 272(1) 273 Capital Gains … Continue reading Marks v HM Inspector of Taxes: SCIT 23 Jun 2004

The taxpayer company had acquired an asset from a company within the same group. It had been treated as trading stock. The inspector sought to deny transfer of the resulting trading loss between the companies. Held: The claim and appeal was to be allowed. The properties if sold outside the group would have attracted loss … Continue reading New Angel Court Ltd v Danny Adam (HM Inspector of Taxes): ChD 16 Mar 2004

Judges: Lord Justice Jonathan Parker Lord Justice Kennedy Lord Justice Longmore Citations: [2003] EWCA Civ 1792, [2004] STC 170, [2004] STI 51, [2004] BTC 3 Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 77(2) Jurisdiction: England and Wales Citing: Appeal from – West and Others (HM Inspector of Taxes) v Trennery and others ChD … Continue reading Trennery v West (HM Inspector of Taxes) and Related Appeals: CA 18 Dec 2003

CAPITAL GAINS TAX – Enterprise Investment Scheme – meaning of ‘attributable’ in section 150A(2) Taxation of Chargeable Gains Act 1992 – whether CGT exemption only available if EIS income tax relief claimed – JUDICIAL REVIEW – whether HMRC adopted flawed methodology in appraising taxpayer’s late claim for relief and exercising powers under section 5(1) Commissioners … Continue reading Ames v The Commissioners for HM Revenue and Customs: UTTC 25 Jun 2018

The fact that a retiring company owner also worked in a non-qualifying capacity part-time for somebody else did not make his work for the company less than full time. He was not to be denied retirement tax relief. To hold to the contrary would be to restrict industriousness and was inappropriate. Citations: Gazette 08-Sep-1999, Times … Continue reading Palmer v Shane Moloney and Shipleys (a Firm): CA 26 Jul 1999

Whether a valuable painting which had increased very substantially in value was a ‘wasting asset with a predictable life not exceeding 50 years’. Judges: Lord Justice Rimer Citations: [2014] EWCA Civ 278, [2014] STI 1560, [2014] BTC 12, [2014] 1 WLR 3902, [2014] WTLR 791, [2014] STC 1100, [2014] 3 All ER 50 Links: Bailii … Continue reading HM Revenue and Customs v The Executors of Lord Howard of Henderskelfe: CA 19 Mar 2014

The act provided that any payment not chargeable to income tax was to be treated as a capital payment. The settlor had created an off-shore trust in which he retained a determinable life interest, and had received unsecured and interest free loans from the trustees. The loans were repayable on demand, and it was argued … Continue reading Cooper v Billingham (Inspector of Taxes); Fisher v Edwards (Inspector of Taxes): CA 5 Jul 2001

FTTTx CAPITAL GAINS TAX – disposal of a residential property after 8 months of occupation – whether the property had been the appellant’s residence – whether his occupation of the property had the necessary degree of permanence, continuity or expectation of continuity – held on the evidence that it did not – sections 222 and … Continue reading Moore v Revenue and Customs: FTTTx 14 Aug 2013

FTTTx CAPITAL GAINS TAX – disposal of property used in used car business- entrepreneur’s relief – section 169I Taxation of Chargeable Gains Act 1992- whether cessation of trade – whether disposal within three years of cessation -yes – appeal allowed Citations: [2014] UKFTT 132 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: … Continue reading Jeremy Rice v Revenue and Customs: FTTTx 29 Jan 2014

Where the Board of Inland Revenue had refused to extend the time limit to allow re-investment of funds realised, it was not open to the General Commissioners to overrule that decision on appeal. Citations: Times 19-May-1999, Gazette 19-May-1999 Statutes: Taxation of Chargeable Gains Act 1992 152 Jurisdiction: England and Wales Capital Gains Tax Updated: 11 … Continue reading Steibelt (Inspector of Taxes) v Paling: CA 19 May 1999

Losses caused in variations in repayments in foreign currency caused by currency fluctuations were not allowable basis for varying assessments to capital gains tax. Citations: Times 15-Jul-1998 Statutes: Taxation of Chargeable Gains Act 1992 48 Jurisdiction: England and Wales Capital Gains Tax Updated: 10 May 2022; Ref: scu.80908

The taxpayers sold their shares in return for loan notes in the form of mixed qualifying (QCB) and non qualifying corporate bonds (Non-QCB) within section 115 of the 1992 Act. Gains on the disposal of QCB would be exempt from CGT. These were then converted to QCBs. The court was asked as to their chargeability … Continue reading Hancock and Another v Revenue and Customs: SC 22 May 2019

FTTTx CAPITAL GAINS TAX – principal private residence – separation – had appellant ‘resided’ at property – no – appeal dismissed – section 222 Taxation of Chargeable Gains Act 1992 Citations: [2013] UKFTT 131 (TC) Links: Bailii Jurisdiction: England and Wales Capital Gains Tax Updated: 06 February 2022; Ref: scu.472333

FTTTx Capital Gains Tax – Gift of property – CGT not paid by donor – Subsequent assessment on donee under s 282 Taxation of Chargeable Gains Act 1992 -Whether subsequent assessment for correct year – No – Appeal allowed Citations: [2011] UKFTT 687 (TC) Links: Bailii Statutes: Taxation of Chargeable Gains Act 1992 282 Jurisdiction: … Continue reading Hamar v Revenue and Customs: FTTTx 28 Oct 2011

Lord Glennie [2015] UKUT 334 (TCC) Bailii Taxation of Chargeable Gains Act 1992 England and Wales Capital Gains Tax Updated: 04 January 2022; Ref: scu.553184

In section 117 the word ‘security’ identified an asset in the nature of an investment. It was used as meaning something distinct from the debt on it referred to in section 117(1)(a), but it was not simply a reference to the document which evidenced the debt. Briggs J [2008] EWHC 99 (Ch), [2008] STC 1865 … Continue reading Harding v HM Revenue and Customs: ChD 30 Jan 2008

TAX – capital gains tax – apportionment – ‘just and reasonable’ – marriage value – existing use value of constituent parts – formula in VOA manual – alternative marriage value approach – appeal allowed – Section 222, Taxation of Chargeable Gains Act 1992 [2014] UKUT 409 (LC) Bailii Taxation of Chargeable Gains Act 1992 222 … Continue reading Oates v Revenue and Customs: UTLC 16 Sep 2014

Lord Justice Lawrence Collins [2008] EWCA Civ 1423, [2009] STI 256, [2009] 1 EG 76, [2008] NPC 139, [2009] BTC 26, [2009] STC 239 Bailii Taxation of Chargeable Gains Act 1992 England and Wales Capital Gains Tax Updated: 06 December 2021; Ref: scu.278778

FTTTx Capital gains tax – taper relief – gain arising on disposal of residential property used as accommodation for workers in restaurant – whether business asset taper relief available – paragraph 5(1A) of Schedule A1, Taxation of Chargeable Gains Act 1992 – whether property used wholly or partly for the purposes of the restaurant trade … Continue reading Shing Cheung Mak v Revenue and Customs: FTTTx 30 Jul 2013

CAPITAL GAINS TAX – Private residence relief – meaning of ‘residence’ – Section 222 Taxation of Chargeable Gains Act 1992 – Appeal dismissed [2012] UKFTT 258 (TC) Bailii England and Wales Capital Gains Tax Updated: 18 November 2021; Ref: scu.462680

FTTTx Capital Gains Tax – Whether property was only or main residence of Appellant – Whether Appellant had separated from his wife – Section 222 Taxation of Chargeable Gains Act 1992 – Appeal dismissed Brooks TJ [2011] UKFTT 457 (TC) Bailii Taxation of Chargeable Gains Act 1992 222 England and Wales Capital Gains Tax Updated: … Continue reading Benford v Revenue and Customs: FTTTx 8 Jul 2011

Lapsed Currency conversion option lost status The taxpayer appealed his assessment to Capital Gains Tax on his redemption of loan notes arising following the sale of his computer company. He said that they were qualifying corporate bonds. The question was whether a security in which a currency conversion option has lapsed, becomes (as the taxpayer … Continue reading Harding v Revenue and Customs: CA 23 Oct 2008

The court was asked as to the applicability or not of deeming provisions in relation to the taxation of chargeable gains arising out of what may or may not be group transactions, and in particular the meaning and effect, in context, of the word ‘associated’ where it appears for the second time in section 179(2). … Continue reading Johnston Publishing (North) Ltd v HM Revenue and Customs: ChD 14 Mar 2007

The company had taken out a loan to finance works on the farm. The loan was guaranted by the taxpayer. Years later when the farm was sold, part of the money was used to repay the loan, and the taxpayer sought to set it off against his liability for Capital Gains Tax. Held: the taxpayer … Continue reading Robson v Mitchell (HM Inspector of Taxes): CA 18 May 2005

UTTC Taxation of Chargeable Gains Act 1992, sections 44 and 45 – whether a valuable painting displayed in Castle Howard was ‘plant’ within section 44(1)(c) of the 1992 Act – whether the painting satisfied the test as to function – whether the painting satisfied the test as to permanence – whether the painting was not … Continue reading Lord Howard of Henderskelfe (Deceased) v Revenue and Customs: UTTC 11 Mar 2013

The House considered the application of the section to ‘flip-flop trusts’. The section allocated liability to charge on gains within a settlement under certain circumstances onto the settlor, and at his rate of tax. Assets were allocated to two trusts, which in alternating years realised gains and allowed a benefit to be taken. Held: The … Continue reading Trennery v West (Inspector of Taxes): HL 27 Jan 2005

UTLC TAX – Capital Gains Tax – freehold office premises – value as at 31 March 1982 – rental values – value relativities between floors – yield – comparables – value determined at pounds 137,500 – Taxation of Chargeable Gains Act 1992 P R Francis FRICS [2013] UKUT 0304 (LC) Bailii Taxation of Chargeable Gains … Continue reading Blum v Revenue and Customs: UTLC 23 Jul 2013

The commissioners appealed against a decision granting the respondents tax relief under the Enterprise Investment Scheme. Held: The Revenue’s appeal succeeded. Shares could only qualify for a relief by way of a deferral of CGT under the Enterprise Investment Scheme where they had been issued only after an appropriate company resolution. Lord Neuberger of Abbotsbury … Continue reading Revenue and Customs v Alan Blackburn Sports Ltd and Another: CA 18 Dec 2008

A settlor by will was deemed to have had an interest as funds were passed to a Jersey Trust. The section merely made or allowed that a variation of a will would not be a taxable event in UK law. It had no other effects. A deed of family arrangement . .

FTTTx CAPITAL GAINS TAX – ss 86, 87, 90, 97 and Schedule 5 TCGA -‘Flip Flop’- whether taxpayer still interested within s.86(1)(d) in first settlement from which he was excluded because money borrowed by first . .

The Revenue appealed dismissal of its claim for assessment to tax of distributions received from taxpayers units in an enterprise zone property.
Held: The appeal failed. Legislation had since prevented 100% capital allowance claims. . .

UTTC CGT – s.49 TCGA 1992 – contingent liability – capacity – representation made of a disposal – costs as a contingent liability. . .