| 释义 |
indexation allowance
Formerly, when a capital gain was made on the disposal of an asset by a company, the amount of the gain (and therefore the company’s liability to tax) was adjusted for inflation by adding indexation allowance to the base cost of the asset. The allowance was calculated by comparing the retail prices index for the month of disposal with the retail prices index for the month of acquisition. Indexation allowance was frozen from April 2018. |