Taxation of Chargeable Gains Act 1992 Schedule D1 paragraph 6

Interpretation of Schedule

Schedule D1 paragraph 6 defines the key terms used throughout the Schedule, including qualifying foreign asset, qualifying foreign gain, qualifying foreign loss, and qualifying QAHC gain.

• A qualifying foreign asset is one situated outside the UK that does not derive at least 75% of its value from UK land.
• A qualifying foreign gain covers gains on disposals of qualifying foreign assets, certain gains attributed to UK residents from non-UK resident close companies, and qualifying QAHC gains — but excludes pre-2025-26 gains that were subject to the remittance basis.
• A qualifying foreign loss is simply a loss arising on the disposal of a qualifying foreign asset.
• A qualifying QAHC gain is the foreign proportion of a chargeable gain on the disposal of shares in a qualifying asset holding company (QAHC), subject to certain exclusions.