Tax Guidance for Quotas

HMRC has published guidance on ‘negligible value’ claims for assets under the Common Agricultural Policy.  This relates to possible losses for Capital Gains Tax (CGT) which can be used to offset gains elsewhere.  Purchased milk quota is covered as this will cease to have any value when quotas end on the 31^st March 2015.  SPS entitlements in England are being rolled-over into the BPS so there is no issue.  However, in Scotland and Wales old entitlements are being extinguished and new ones created.  This may lead to a CGT loss in some circumstances.  For more details see –  https://www.gov.uk/government/publications/revenue-and-customs-brief-48-2014-making-a-negligible-value-claim-for-an-asset-affected-by-common-agricultural-policy-reform/revenue-and-customs-brief-48-2014-making-a-negligible-value-claim-for-an-asset-affected-by-common-agricultural-policy-reform .