Cases - Cottle v Coldicott (Inspector of Taxes)

Record details

Name

Cottle v Coldicott (Inspector of Taxes)

Date

[1995]

Citation

STC (SCD) 239

Keywords

Capital gains tax

Summary

Following the decision in Faulks v Faulks, a landowner who sold his holding with milk quota attaching to it argued that milk quota was not an asset separate from the land and accordingly the quota was to be treated as part of the land for tax purposes.

The special commissioners of tax decided that, primarily, milk quota was the entitlement of the producer. It was not a restriction attaching to a holding, but an advantage which had a positive value. As such, it was to be treated as a separate asset for the purpose of capital gains tax.