Taxation of Chargeable Gains Act 1992 section 57A

Gains and losses on relevant high value disposals

Section 57A establishes how gains and losses are computed on relevant high value disposals of property, particularly in relation to the Annual Tax on Enveloped Dwellings (ATED) regime.

• This section applies to disposals occurring on or after 6 April 2013 and introduces Schedule 4ZZA, which sets out detailed computation rules for gains and losses on relevant high value disposals.
• Schedule 4ZZA determines whether a gain or loss arising on a disposal is "ATED-related" — that is, connected to properties subject to the Annual Tax on Enveloped Dwellings.
• If the computation under Schedule 4ZZA produces no ATED-related gain or loss, the gain or loss on the disposal is calculated using normal rules, ignoring Schedule 4ZZA entirely.
• For disposals made on or after 6 April 2015, even where no ATED-related gain or loss arises, the Schedule 4ZZA computation may still be relevant when calculating gains or losses under the non-resident capital gains tax rules in Schedule 4ZZB.