C2.1214A Grant of a lease—overview
The creation or 'grant' of a lease out of an existing asset is a part disposal of the existing asset. There are several possible situations1:
- Ìý
•ÌýÌýÌýÌý where a premium (see C2.1215) is paid
- Ìý
•ÌýÌýÌýÌý where no premium is paid because a full market rent (a 'rack rent') is payable under the lease
- Ìý
•ÌýÌýÌýÌý where a reverse premium is paid (see C2.1218A)
- Ìý
•ÌýÌýÌýÌý where the lease is granted otherwise than at arm's length
Where no premium is paid, there is no chargeable gain
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Web page updated on 17 Mar 2025 15:52