Pepper (Inspector of Taxes) v Daffurn
Pepper (Inspector of Taxes) v Daffurn
- 1993
- Simon`s Tax Cases (1993) STC 466-472(4) .
ChD 17 June 1993. As preparation for the sale of a covered yard, D, a farmer, ran down his herd of cattle and concentrated on grazing rather than rearing. Once planning permission had been granted, the yard was sold for development and D (aged 60) claimed retirement relief from capital gains tax. This was refused by P, but upheld by the General Commissioners on the grounds that, in accordance with Finance Act 1985 s69(2)(a), the nature of D`s business activities had been fundamentally changed by the sale. P appealed, and won, as the change in farming practice predated the sale.
CAPITAL GAINS TAX
FARMING BUSINESS
FINANCE ACT 1985 S69(2)(A)
RETIREMENT RELIEF
ChD 17 June 1993. As preparation for the sale of a covered yard, D, a farmer, ran down his herd of cattle and concentrated on grazing rather than rearing. Once planning permission had been granted, the yard was sold for development and D (aged 60) claimed retirement relief from capital gains tax. This was refused by P, but upheld by the General Commissioners on the grounds that, in accordance with Finance Act 1985 s69(2)(a), the nature of D`s business activities had been fundamentally changed by the sale. P appealed, and won, as the change in farming practice predated the sale.
CAPITAL GAINS TAX
FARMING BUSINESS
FINANCE ACT 1985 S69(2)(A)
RETIREMENT RELIEF