CH10 - Chattels Flashcards
CGT SM Chapter 10 Example 1, CGT QB Q10..4.
1
Q
Chattel means ?
A
‘tangible moveable property’.
2
Q
A wasting chattel is ?
A
one with a life of 50 years or less.
Such assets are exempt from CGT.
3
Q
Non-Wasting Chattels Rules
What rules apply if proceeds and costs =< £6,000?
A
Exempt from CGT.
4
Q
Non-wasting chattels rules
What rules apply if proceeds < £6,000, cost > £6,000?
A
Loss restricted by deeming gross proceeds to be £6,000.
5
Q
Non-wasting chattels rules
What rules apply if proceeds > £6,000, cost < £6,000?
A
Gain restricted to 5/3 x (gross proceeds - £6,000).
