Taxation of Chargeable Gains Act 1992 Schedule 4ZZB paragraph 5

Introduction to paragraphs 6 to 8

Paragraph 5 of Schedule 4ZZB provides the introductory framework for paragraphs 6 to 8, which set out the rules for calculating gains and losses on disposals of interests in non-resident capital gains tax (NRCGT) assets.

• Paragraphs 6 to 8 apply when a person disposes of an interest in a UK land-rich asset and a chargeable gain or allowable loss arises on that disposal.
• The purpose of these paragraphs is to adjust the computation of gains and losses so that only the portion of the gain or loss attributable to UK property is brought into charge.
• The rules operate by requiring the taxpayer to apportion the overall gain or loss to identify the element that relates to UK land and property interests.
• This introductory paragraph was introduced by Schedule 1 of the Finance Act 2019 as part of the extended non-resident capital gains tax regime taking effect from April 2019.