Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On 25 April 2022 The City received proceeds of 250,000 for the sale of a warehouse which had been used for trading purposes. The original
On 25 April 2022 The City received proceeds of 250,000 for the sale of a warehouse which had been used for trading purposes. The original warehouse cost 25,000 when it was first acquired in December 1978 and was valued at 55,000 in March 1982. The sale was due to the company downsizing and The City bought a smaller replacement warehouse in October 2021 for 200,000. On 10 March 2022 The City sold its 100% investment in Lisbonnete Limited for 20,000. The expenses associated with the sale amounted to 5,000 and the original cost of the shares (in July 1992) was 80,000. Lisbonnete Limited was an active trading company throughout the period that it was owned by The City Limited. calculate the net chargeable gain arising on the disposal of the freehold warehouse and shares in The City Limited, on the basis that any reliefs available are claimed?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To calculate the net chargeable gain arising on the disposal of the freehold warehouse and shares in ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started