Legislating Extra Statutory Concession D33
HMRC is seeking views on introducing legislation to replace the long-standing Extra Statutory Concession D33.
Detail
Extra Statutory Concession (ESC) D33 covers a number of circumstances where a capital sum is received from a right of action.
The concession was amended in January 2014 so that only the first £500,000 of a capital sum where there is no underlying asset was exempt, and exemption for amounts in excess of this had to be made in writing to HMRC.
This consultation seeks views on introducing a limit of £1,000,000 exemption with amounts in excess of this liable to Capital Gains Tax (CGT).
It also seeks views on legislating the relief given by ESC D33 for personal compensation or damages and indemnities.
Documents