Section 169VK | Cap on relief for disposal by an individual ^F1

(1)This section applies if, on a disposal within section 169VC(1) made by an individual (“the individual concerned”), the aggregate of—^F1F2

(a)the amount of the relevant gain on the disposal (“the gain in question”),^F1

(b)the total amount of any gains that, in relation to earlier disposals by the individual concerned, were charged at the rate in section 169VC(2), and^F1

(c)the total amount of any reckonable trust gains that, on any previous trust disposals in respect of which the individual concerned was an eligible beneficiary, were charged at the rate in section 169VC(2),^F1

exceeds £1 million.

(2)The rate in section 169VC(2) applies only to so much (if any) of the gain in question as, when added to the aggregate of the total amounts mentioned in subsection (1)(b) and (c), does not exceed £1 million.^F1F3

(3)Section 1H (rates of capital gains tax) applies to so much of the gain in question as is not subject to the rate in section 169VC(2).^F1F4

(4)In this section—^F1

“eligible beneficiary”, in relation to a disposal, is to be read in accordance with section 169VH(2);

“reckonable trust gain”, in relation to a trust disposal in respect of which the individual concerned was an eligible beneficiary, means—

(a)if section 169VI(1)(c) applied in relation to the disposal, that individual's share of the relevant gain on that disposal, within the meaning given by section 169VI(4) and (5);

(b)otherwise, the relevant gain on that disposal;

“the relevant gain”, in relation to a disposal, has the meaning given by section 169VC(3);

“trust disposal” means a disposal by the trustees of a settlement.