CGT on assignment of short lease

which had been extended before

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short lease purchased for £2500 is extended on expiry  for 20 years (no premium paid) and then assigned after 5 years. Am I right assuming that the original acquisition cost £2500 is the base cost for CGT (after being reduced by the formulafor depreciating original cost in accorance with the Sch 8 table TCGA 1992?

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By Dick Stastey
30th Mar 2017 17:44

No. The £2,500 had fully wasted by the time the lease was renewed (it is a renewal if you "extend" it when the old lease expired).

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Replying to Dick Stastey:
By forrest gump
30th Mar 2017 17:53

many thanks for that. what will the base cost be in this case?

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By Dick Stastey
30th Mar 2017 17:58

The amount of premium that was paid when the lease was renewed.

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