Negligible value claims is a topic of interest to both individuals and corporates. Paul Howard and Martin Mann provide your refresher guide to the rules.
TCGA 1992 s 24(1) deals with the loss destruction dissipation or extinction of an asset and treats it as a disposal for CGT purposes. Where this section applies a claim is not required as the asset has been lost as a matter of fact. The disposal would be reported on the tax return for the year in which the loss or destruction took place.
The negligible value rules which are contained in TCGA 1992 s 24(1A) permit the owner of an asset to make a negligible value claim if the asset becomes worthless. There is no statutory definition of what it meant by worthless so it should typically take its ordinary meaning. In a CCAB press release in June
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Negligible value claims is a topic of interest to both individuals and corporates. Paul Howard and Martin Mann provide your refresher guide to the rules.
TCGA 1992 s 24(1) deals with the loss destruction dissipation or extinction of an asset and treats it as a disposal for CGT purposes. Where this section applies a claim is not required as the asset has been lost as a matter of fact. The disposal would be reported on the tax return for the year in which the loss or destruction took place.
The negligible value rules which are contained in TCGA 1992 s 24(1A) permit the owner of an asset to make a negligible value claim if the asset becomes worthless. There is no statutory definition of what it meant by worthless so it should typically take its ordinary meaning. In a CCAB press release in June
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
