CG13120 - Assets lost/destroyed: entire loss or destruction of assets

Here we are looking at the physical loss of an asset. Where the asset has been entirely lost, destroyed, dissipated or extinguished, then that is a disposal of the asset for capital gains purposes, TCGA92/S24 (1). Assuming that a gain on a disposal of the asset would have been a chargeable gain, then such a disposal will give rise to an allowable loss, TCGA92/S16 (2). See, however,

• CG12340 if an option has been abandoned for no consideration
• CG12980 regarding the interaction of Section 24 with TCGA92/S22 if any capital sum by way of compensation or otherwise is received
• CG15770 if buildings and structures on land have been destroyed
• CG17700+ where the disposal takes place on or after 30 November 1993
• CG68070 if goodwill is claimed to have been destroyed.