Taxation of Chargeable Gains Act 1992 Schedule 11 paragraph 6

Valuation of assets on 6th April 1965

Paragraph 6 of Schedule 11 modifies the normal share valuation rules in section 272 when determining the market value of shares or securities as at 6th April 1965 for the purposes of the deemed acquisition rules in Schedule 2.

• When valuing shares or securities as at 6th April 1965 for capital gains tax purposes, the standard valuation rules in section 272 are modified to produce a more generous result.
• Instead of adding one-quarter of the difference between the lower and higher quoted prices to the lower price, one-half of the difference is added; and of the two alternative calculations available, the higher (not the lower) amount is taken.
• Where a "buying price" would normally be used under the section 272(5) rule, the midpoint between the buying and selling prices is substituted instead.
• For shares not covered by section 272(3) but valued by reference to paired stock exchange prices, a corresponding upward adjustment is made to match the more generous calculation.