Paragraph 2

England, Wales and Scotland

(1)

The following has effect as regards the operation of sections . . . F1 144, 145 and 146 to 149 in cases where a residual interest vests in possession.

(2)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2

(3)

Where by virtue of paragraph 1 of this Schedule any shares are exempt from section 144 or 145 at the time when they are issued or acquired but the residual interest in question vests in possession before they are disposed of or fully paid up, those sections apply to the shares as if they had been issued or acquired on the date on which that interest vests in possession.

(4)

Where by virtue of paragraph 1 any shares are exempt from sections 146 to 149 at the time when they are acquired but the residual interest in question vests in possession before they are disposed of, those sections apply to the shares as if they had been acquired on the date on which that interest vests in possession.

(5)

The above sub-paragraphs apply irrespective of the date on which the residual interest vests or vested in possession; but where the M1date on which it vested was before 26th July 1983 (the passing of the Companies (Beneficial Interests) Act 1983), they have effect as if the vesting had occurred on that date.