Capital Gain/Loss on China Property Developer Bond

I believe bond interest is subject to capital gains tax. But if the bond defaults and the bond price plummets, can I claim a capital loss to offset the interest received? [Note: The bond interest may be only $5, while the bond price falls from $100 to $5. Therefore, losses cannot be recovered with interest received. Meanwhile, I still hold the bond, so the loss is unrealized.

Hi
If you surrender or dispose of your interest in an offshore reporting fund it is treated as a disposal of an asset for the purposes of Capital Gains.  Any loss arising within the fund will be a capital loss and can only be set against capital gains on a disposal of an interest in the fund.
More information regarding the computation of offshore income gains and the treatment of the loss can be located at IFM13550 - Offshore Funds: investors in non-reporting funds: computation of offshore income gain: losses - HMRC internal manual - GOV.UK (www.gov.uk)
Thank you.
 

Thank you for your reply. I really appreciate. When I calculate capital gains and losses, the cost should be the purchase price or market value when I move to the UK.

Hi,

It is the actual purchase price.

Thank you.