Section 248A: Roll-over relief on disposal of joint interests in land: conditions, Taxation of Chargeable Gains Act 1992

Section 248B applies where conditions A to E are met.

Condition A is that a person ("the landowner") and one or more other persons jointly hold—

a holding of land, or

two or more separate holdings of land.

Condition B is that the landowner disposes of an interest ("the relinquished interest") in—

the holding, or

one or more of the holdings,

to the co-owner or to one or more of the co-owners.

Condition C is that the consideration for the disposal is or includes an interest ("the acquired interest") in a holding of land held jointly by the landowner and one or more of the co-owners.

Condition D is that as a consequence of the disposal (taken together with any related disposals) the landowner and each of the co-owners become—

in a case falling within subsection (2)(a), the sole owner of part of the holding, or

in a case falling within subsection (2)(b), the sole owner of one or more of the holdings.

Condition E is that the acquired interest is not an interest in excluded land (see section 248C).

For the purposes of this section—

references to a holding of land include references to an estate or interest in a holding of land, and are to be read in accordance with section 243(3);

references to holding land jointly are to holding land—

in England and Wales, as joint tenants or tenants in common,

in Scotland, as joint owners or owners in common, or

in Northern Ireland, as joint tenants, tenants in common or coparceners;

"co-owner" means any person who holds a holding of land jointly with the landowner;

a related disposal (in relation to a disposal mentioned in condition B) is a disposal of an interest in the holding, or in one or more of the holdings, which is made—

by the landowner to a co-owner, or

by a co-owner to the landowner or another co-owner,

at the same time as the disposal mentioned in that condition;

spouses who are living together, or civil partners who are living together, are together treated as a landowner or a co-owner.

Section 248B applies in relation to cases where, immediately before the disposal, the land is held by a partnership comprising the landowner and the co-owner or co-owners (whether the partnership is formed in Scotland or elsewhere) as it applies in relation to other cases (and the partners are regarded as the landowner and the co-owner or co-owners for the purposes of this section and section 248B).

Section 248A: Roll-over relief on disposal of joint interests in land: conditions

Discussed in

About this text