TCGA92/S24(1) – Whether an involuntary transfer will constitute a disposal

These instructions look at the Capital Gains Tax position when someone has an asset taken from them without their consent. This could be by way of confiscation, compulsory acquisition, theft etc.

Involuntary transfers are disposals for Capital Gains Tax purposes if

the original owner's title to the asset passes to a new owner, for example, a local authority after a compulsory purchase, see CG60660 and CG72100+


the original owner's title comes to an end under a particular law or statute, see, for example, St. Marylebone Property Company v Fairweather below.

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