Ken Moody muses over what is allowable as ‘enhancement’ expenditure for capital gains tax purposes, and encounters what seems to be a proverbial ‘Catch 22’ situation
HMRC regards the capital gains tax (CGT) provisions of TCGA 1992, s 38 (acquisition and disposal costs, etc.) as exhaustive. So, if an item of expenditure is within any of the categories of expenditure identified at section 38, it is allowable; if not, then it is not allowable.
