In Blackwell v HMRC (TC03243 – 20 January 2014) HMRC considered that expenditure of £25m claimed by Mr Blackwell as a deduction from the consideration received on the disposal of shares was not allowable under TCGA 1992 s 38(1)(b).
Mr Blackwell had entered into a confidential agreement with a company called Taylor and Francis for the sale of his shares in BP Holdings (as well as other obligations). When another company called Wiley had made a much higher bid for BP Holdings Mr Blackwell had accepted the offer of Taylor and Francis to release him from his obligations under the agreement in consideration of the payment of £25m.
The tribunal considered that the £25m had been incurred on the shares for the purpose of enhancing their value. Mr Blackwell believed that the payment would enhance the value of his shares because it...
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In Blackwell v HMRC (TC03243 – 20 January 2014) HMRC considered that expenditure of £25m claimed by Mr Blackwell as a deduction from the consideration received on the disposal of shares was not allowable under TCGA 1992 s 38(1)(b).
Mr Blackwell had entered into a confidential agreement with a company called Taylor and Francis for the sale of his shares in BP Holdings (as well as other obligations). When another company called Wiley had made a much higher bid for BP Holdings Mr Blackwell had accepted the offer of Taylor and Francis to release him from his obligations under the agreement in consideration of the payment of £25m.
The tribunal considered that the £25m had been incurred on the shares for the purpose of enhancing their value. Mr Blackwell believed that the payment would enhance the value of his shares because it...
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