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Markey (Inspector of Taxes) v Sanders

Language: English Series: Simon`s Tax Cases ; (1987) STC 256-265(11)Publication details: 1987Subject(s): Summary: ChD 27 February 1987. Concerned the issue of exemption and relief from capital gains tax on the sale of an estate by a taxpayer, claiming that disposal of a bungalow built in the same grounds as the main house, but 130 metres away, comprised a single dwellinghouse , and should be exempt from CGT. The General Commissioners allowed the taxpayers appeal, holding there was sufficient connection between the house and bungalow for it to be regarded as a single dwellinghouse for the purpose of relief under the Capital Gains Tax Act 1979 s101(1)(a) and s102. On appeal by the Crown, it was held, applying the test for deciding whether the bungalow and house constituted a single dwellinghouse, namely "very closely adjacent", that the bungalow could not be said to form part of the taxpayers residence. Appeal allowed.
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Law report London Journal article ABS37763 (Browse shelf(Opens below)) 1 Available 6641-1001

ChD 27 February 1987. Concerned the issue of exemption and relief from capital gains tax on the sale of an estate by a taxpayer, claiming that disposal of a bungalow built in the same grounds as the main house, but 130 metres away, comprised a single dwellinghouse , and should be exempt from CGT. The General Commissioners allowed the taxpayers appeal, holding there was sufficient connection between the house and bungalow for it to be regarded as a single dwellinghouse for the purpose of relief under the Capital Gains Tax Act 1979 s101(1)(a) and s102. On appeal by the Crown, it was held, applying the test for deciding whether the bungalow and house constituted a single dwellinghouse, namely "very closely adjacent", that the bungalow could not be said to form part of the taxpayers residence. Appeal allowed.