A value is not ‘ascertained’ when property is exempt
from IHT or fully relievable from charge, for example, by
agricultural or business relief. You should make a point of
following the instructions at
IHTM24161 to ensure that taxpayers are
aware that the value they have offered for relievable property is
not ascertained for capital gains tax purposes.
If an asset is wholly exempt or relieved form IHT, neither
we nor the taxpayer can require the value to be ascertained for CGT
purposes. If the taxpayer asks you to agree a value in such a case
you should explain that you have no need to do so and cannot be
required to do this as there is no immediate liability to IHT. If
the taxpayer persists, you should refer the matter to TG (via TSS
if you are in PC&S.
Where there is no tax to pay because the chargeable value of
an estate is below the threshold, the fact that we accept this to
be the case does not mean that we have implicitly accepted the
value of any property comprised in the estate and no value has been
ascertained for CGT purposes. Even if the VOA (
IHTM23002) has provided an ‘as
returned’ (
IHTM23144) value, as no tax has been
paid, the value is not ascertained.
If the taxpayer seeks to increase the value of a property,
for example, by asking us to accept the sale price, but there is
still no tax to pay, you should adopt the approach given above for
exempt or relieved assets.
