Where a small part of a holding of land is (or could be) compulsorily acquired, and the transferor so claims, the transfer will not be chargeable to tax as a disposal in the normal way. Instead, the consideration will be deducted from the allowable expenses on a later disposal of the holding (TCGA 1992, s. 243). The method used is the same as for small part-disposals of land, which is described at ¶510-350 , but the conditions differ slightly. They are:

that the amount or value of the consideration for the transfer, or the market value if the transfer is not for full consideration in money or money’s worth, is ‘ small as compared with’ the value of the holding;

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