Have just inherited a new trust client but trust creation papers were lost years ago. I need to reconstruct the 1997/98 CGT comp on creation of the trust.
Am about to fall asleep at the wheel and just cannot remember the rules for a personal lifetime gift of land into trust in June 1997 of an asset held at 31.3.82. Unfortunately, my current textbooks do not go back so far. Cost of the land in 1975 was £5,000.
Market Value June 1997 £50,000
Less 31.3.82 market value £15,000
Less indexation applied to 31.3.82 mv i.e. x 0.983 on £15,000
Just want to make sure that indexation was not applied to the £5,000 cost back in 1975.