Under the Capital Gains Tax Act Cap C1 LFN 2004 (as amended), the acquisition or disposal of an asset is considered effective when the agreement for the transfer of ownership is completed. Specifically:

• Acquisition is effective on the date the contract of sale is executed, and the transfer of ownership occurs.
• Disposal is effective on the date the asset is sold or transferred, or the transaction is otherwise completed, regardless of when the payment is made.

This means that the tax liability arises based on the date the transaction is completed, not when payment is actually made or received.