Groups: indexation on no gain/loss disposals: assets held on 31/3/82
Where a person making a disposal other than at no gain/no loss is deemed to have held an asset on 31 March 1982 for indexation purposes, the indexation allowance on the disposal is by reference to the RPI increase over the entire period from 31 March 1982 up to the date of that disposal. Indexation allowance accruing in the period up to the actual acquisition of the asset by the person making the disposal (that is, up to the most recent no gain/no loss disposal) will generally have been incorporated into the capital gains cost by TCGA92/S56 (2). The legislation achieves this by stripping indexation out of the capital gains cost in relation to no gain/no loss disposals after 31 March 1982. See TCGA92/S55 (6)(b).