The commentary below considers the capital gains tax treatment that applies where an asset is held by a nominee or bare trustee. For an overview of the taxation of capital gains generally, see C1.101.
Capital gains tax treatment where asset held by nominee or bare trustee
Where a nominee holds property on behalf of another person (or persons), that property is treated as if it is vested in the person for whom they are nominee, and the acts of the nominee are treated as the acts of the person for whom they are nominee1.
The position is the same for bare trustees, that is trustees holding assets for a beneficiary (or beneficiaries) absolutely entitled thereto as against the trustees, or who would be so entitled but for being an infant or other person under disability2.
This rule is extended to situations where the beneficiary is entitled to direct how the property
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