CG12702 - Disposal of assets: examples

For capital gains purposes a disposal of an asset includes

• a part-disposal of an asset, that is a disposal of part of an asset or an interest in an asset, see CG12730+
• the entire loss, destruction, dissipation or extinction of an asset, see CG13120+
• the repayment of a debt, see CG53400+
• the grant of an option. If the option is exercised, the grant of the option and the transaction entered into by the grantor are treated as a single transaction, see CG12300+
• the receipt or the entitlement to receive any capital distribution in respect of shares, see CG57800+
• a transfer into settlement, whether revocable or irrevocable. This is a disposal of the whole property which thereby becomes settled property notwithstanding that the transferor has some interest as a beneficiary or that he or she is a trustee, see CG35710
• any money (or money’s worth) received in respect of an asset, for example

• as compensation or under the terms of an insurance policy
• for giving up rights or for not exercising them
• for use or exploitation of the asset.

See CG12940+.