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Chargeable gains for companies – Cost/Indexed costs

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Chargeable gains for companies – Cost/Indexed costs

  • This topic has 1 reply, 2 voices, and was last updated 4 years ago by Tax Tutor.
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  • Author
    Posts
  • February 20, 2021 at 5:25 pm #611109
    andy94
    Participant
    • Topics: 1
    • Replies: 0
    • ☆

    Hi,

    I’m using the BPP study text, on p.319 there’s a question re cost and indexed costs in share pool where I’m not sure how the cost/indexed figure is arrived, please could you explain?

    When there’s a bonus and rights issue involved I understand the cost apportionment and risen indexed figure, however they ask to show its cost/indexed cost after the takeover.

    How is the cost/indexed cost calculated once shares are issued in the takeover?

    February 24, 2021 at 1:20 pm #611544
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    Please refer to the lecture and study notes for Chapter 19 that deal with takeovers

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