Taxation of Chargeable Gains Act 1992 section Sch 4 paras 2–3

Charges rolled-over or held-over

Section Sch 4 paragraphs 2 and 3 deal with the application of halving relief to deferred chargeable gains that have been rolled over or held over, where the original gain relates to an asset held before 31 March 1982.

• Halving relief applies when a rolled-over or held-over gain originated from a pre-31 March 1982 asset disposed of before 6 April 1988, and the replacement asset was acquired after 31 March 1982
• From 6 April 2008, halving relief is only available for corporation tax purposes, covering gains deferred under compensation and insurance money rules, business asset roll-over relief, and compulsory acquisition roll-over relief
• The relief does not apply if it has already been given on a previous occasion, or if a claim could have been made earlier but was not
• A special rule applies where a gain was initially rolled into a depreciating asset and later transferred to a non-depreciating asset acquired on or after 19 March 1991 — in that case, only half the originally deferred gain qualifies for relief

---