Leases

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What is the CGT treatment for assignment of a long lease?
Normal CGT disposal. Proceeds - Cost = Gain
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What is the CGT treatment for assignment of a short lease?
Adjust cost using percentages from lease tables.
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What is the IT treatment for grant of a long lease?
No IT implications.
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What is the IT treatment for grant of a short lease?
Tax part of the premium. Premium x (51-Y) / 50
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What is the CGT treatment for grant of a long lease from a long lease?
Normal part disposal. Adjust cost by premium / (premium + rev. interest)
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What is the CGT treatment for grant of a short lease from a long lease?
Remove property income element (P x 51-Y / 50). Adjust cost (C x a / A + rev. interest). Where a = CGT element of premium and A = full premium.
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What is the CGT treatment for grant of a short lease from a short lease?
Adjust cost (C x S - E / T) where S = yrs @ start, E = yrs @ end, T = total yrs of headlease. Then deduct property income element, but restrict loss to nil (P x 51-Y / 50)
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Card 2

Front

What is the CGT treatment for assignment of a short lease?

Back

Adjust cost using percentages from lease tables.

Card 3

Front

What is the IT treatment for grant of a long lease?

Back

Preview of the front of card 3

Card 4

Front

What is the IT treatment for grant of a short lease?

Back

Preview of the front of card 4

Card 5

Front

What is the CGT treatment for grant of a long lease from a long lease?

Back

Preview of the front of card 5
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