Section 940B Meaning of “transfer of a trade” and related expressionsF1
United Kingdom
This section applies for the purposes of this Chapter.
If, on a company ceasing to carry on a trade, another company begins to carry it on, there is a transfer of a trade.
The trade that is transferred is referred to in this Chapter as “the transferred trade”.
In relation to a transfer of a trade—
“the predecessor” means the company which ceases to carry on the trade, and
“the successor” means the company which begins to carry on the trade.
In this Chapter, except in so far as the context otherwise requires—
references to a trade include an office, and
references to carrying on a trade include holding an office.
Annotations
Textual amendments
- F1
S. 940B: s. 939 renumbered as s. 940B (19.7.2011) by Finance Act 2011 (c. 11), Sch. 5 para. 3(1)(b)
Notes on Chapter 1
Modifications
- C1
Pt. 22 Ch. 1 applied (with modifications) (14.7.2022) by Energy (Oil and Gas) Profits Levy Act 2022 (c. 40), Sch. 1 para. 19 (with ss. 15(1), 16(1), 17)
- C2
Pt. 22 Ch. 1 modified (15.5.2024) by S.I. 2009/2971, reg. 4(20) (as inserted by The Mutual Societies (Transfers of Business) (Tax) (Amendment) Regulations 2024 (S.I. 2024/555), regs. 1(1), 2(2)(c) (with reg. 1(2)-(5)))