IHTM33130 - Loss on sale of land: changes in the interest or underlying land : statutory compensation received
Under IHTA84/S193 (3), you should adjust the sale price (IHTM33072) when statutory compensation is payable to:
- the person making the claim, or
- any person who is liable for tax that is attributable to the value of the interest that is being considered.
»Ê¹ÚÌåÓýapp provision applies where the statutory compensation arises because:
- a restriction has been imposed on the use or development of the land in which the interest subsists, or
- the value of the interest is reduced for any other reason.
»Ê¹ÚÌåÓýapp adjustment is made by simply increasing the sale price by the amount of the compensation. »Ê¹ÚÌåÓýapp imposition of the restriction or the other cause of the reduction in value is ignored for the purposes of IHTA84/S193 (1) and (2).