higher rate.
Andrew is considering investing in a new business, and to provide funds for this investment he has recently disposed
of the following assets:
(1) A short leasehold interest in a residential property. Andrew originally paid £50,000 for a 47 year lease of the
property in May 1995, and assigned the lease in May 2006 for £90,000.
(2) His holding of £10,000 7% Government Stock, on which interest is payable half-yearly on 20 April and
20 October. Andrew originally purchased this holding on 1 June 1999 for £9,980 and he sold it for £11,250
on 14 March 2005.
Andrew intends to subscribe for ordinary shares in a new company, Scalar Limited, which will be a UK based
manufacturing company. Three investors (including Andrew) have been identified, but a fourth investor may also be
invited to subscribe for shares. The investors are all unconnected, and would subscribe for shares in equal measure.
The intention is to raise £450,000 in this manner. The company will also raise a further £50,000 from the investors
in the form. of loans. Andrew has been told that he can take advantage of some tax reliefs on his investment in Scalar
Limited, but does not know anything about the details of these reliefs
Andrew’s employer, Bestadvice & Co, is proposing to change the staff pension scheme from a defined benefit scheme
to which the firm and the employees each contribute 6% of their annual salary, to a defined contribution scheme, to
which the employees will continue to contribute 6%, but the firm will contribute 8% of their annual salary. The
majority of Andrew’s colleagues are opposed to this move, but, given the increase in the firm’s contribution rate
Andrew himself is less sure that the proposal is without merit.
Required:
(a) (i) Calculate the chargeable gain arising on the assignment of the residential property lease in May 2006.
(2 marks)
参考答案
正确答案: