»Ê¹ÚÌåÓýapp

TCGA92/Sch 4ZZA/6A is concerned with cases where the gain on a disposal is potentially liable both to CGT as an ATED-related disposal and to non-resident CGT under TCGA92/S14B.

This provision applies where -

• the relevant high value disposal is a non-resident CGT disposal under TCGA/S14B (or is one of several disposals which are treated as comprised in a non-resident CGT disposal); and
• the interest disposed of in the relevant high value disposal was held by the person on 5 April 2015, neither Case 2 nor Case 3 in Sch 4ZZA/para 2 applies, and no election under Sch 4ZZA/para 5 (or Sch 4ZZB/para 2(1)(b)) is made in relation to the chargeable interest which (or a part of which) is the subject of the relevant high value disposal.

Case 2 in paragraph 2 of Sch 4ZZA is broadly that the interest disposed of was held on 5 April 2015 and there no was no charge to ATED in the period ending 31 March 2015 during which the person held the interest disposed of. Case 3 is that interest disposed of was held by the person on 5 April 2016, and there no was no charge to ATED in the period ending 31 March 2016 during which the person held the interest disposed of. »Ê¹ÚÌåÓýapp elections mentioned are for the retrospective basis of computation to apply in relation to that interest; the person has the option of so electing where they not want rebasing to apply as it otherwise would.

»Ê¹ÚÌåÓýapp ATED-related gain or loss on the relevant high value disposal is computed as follows -

• Step 1, determine the amount of the post-April 2015 ATED-related gain or loss.
• Step 2, determine the amount of the pre-April 2015 ATED-related gain or loss.
• Step 3, add these amounts together (treating any amount which is a loss as a negative amount).

If the result is positive, that is the ATED-related gain on the relevant high value disposal. If it is negative, that is the ATED-related loss on the relevant high value disposal.

»Ê¹ÚÌåÓýapp post-April 2015 ATED-related gain or loss is the amount that would be given by Sch 4ZZA/para 3(1) as the amount of the ATED-related gain or loss, if 2015 was the relevant year for the purposes of that paragraph. »Ê¹ÚÌåÓýapp “pre-April 2015 ATED-related gain or lossâ€� is the relevant fraction of the notional pre-April 2015 gain or loss.

“»Ê¹ÚÌåÓýapp relevant fractionâ€� is -

CD

TD

where “CD� is the number of days in the relevant ownership period which are ATED chargeable days; and “TD� is the total number of days in the relevant ownership period.

If the interest disposed of was not held by the person on 5 April 2013, the “notional pre-April 2015 gain or loss� is the gain or loss that would have accrued on 5 April 2015 if the interest had been disposed of on that date for market value on that date.

If the interest disposed of was held by the person on 5 April 2013, the “notional pre-April 2015 gain or loss� is the gain or loss that would have accrued on 5 April 2015 if the person had -

• acquired the interest on 5 April 2013 for its market value on that date, and
• disposed of it on 5 April 2015 for its market value on that date.

“Relevant ownership period� means the period beginning with the day on which the person acquired the chargeable interest (or, if later, 6 April 2013), and ending with 5 April 2015. For how to compute the amount of the gain or loss on the relevant high value disposal that is neither ATED-related nor an NRCGT gain or loss, see Sch 4ZZB/paras 16 to 19.