C1.206 Personal representatives—general
Capital gains tax treatment of personal representatives
In relation to property forming part of the estate of a deceased person, the personal representatives are treated as a single and continuing body of persons, distinct from the persons who may from time to time be the personal representatives1.
The personal representatives are jointly and severally liable to capital gains tax on gains realised in the course of administering the deceased's estate2.
Deemed disposal of the deceased's assets to the personal representatives on death
When an individual dies, the assets of which they were competent to dispose are deemed to be acquired on death by the personal representatives (or other person on whom they devolve) at their market value. This means that the capital gains tax base cost of the assets for the personal representatives is the market value at the date of death. However, the deceased is deemed not to have disposed of the assets and thus no liability to capital gains tax arises on the transfer of assets on death. This is known as the capital gains tax uplift on death. For further details, including a discussion of market valuation, see I4.536.3
The assets of which a deceased person was competent to dispose are those assets that could have been transferred via the Will (if the deceased was of full age and capacity), assuming that the assets were situated in England. If the deceased was not domiciled in the UK, for these purposes it is assumed that they were domiciled in
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