Commentary

C2.1154 Indirect disposals—anti-avoidance

Capital gains tax
Capital gains tax | Commentary

C2.1154 Indirect disposals—anti-avoidance

Capital gains tax | Commentary

C2.1154 Indirect disposals—anti-avoidance

There is a targeted anti-avoidance rule which applies to indirect disposals falling within TCGA 1992, Sch 1A. The anti-avoidance rule is based on a motive test, which looks at whether a person has sought to obtain a tax (CGT or corporation tax) advantage either1:

  1.  

    •     directly in relation to any of the provisions within that schedule, or

  2.  

    •     by overriding any of the provisions using the provisions of a Double Tax Agreement ('treaty shopping')

The meaning of 'tax advantage' is widely construed and is similar to the definition used in other provisions that apply for corporation tax. The

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial