Page 60 - P6 Slide Taxation - Lecture Day 4
P. 60

 Return of capital has CGT consequences for the


                shareholder:










      Share is fully disposed

                       of                                    ROC is treated as "proceeds" in a disposal





           Share is not fully

       disposed of and was                                                 Reduce base cost of asset
        acquired after 1 Oct                          Where ROC exceeds base cost, excess is a capital

                     2001                                                                    gain
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