Regulation 35 Application of section 135 of TCGA 1992

(1)

Section 135 of TCGA 1992^f1 (exchange of securities for those in another company treated as not involving a disposal) does not apply for the purposes of this Part to the extent that—

(a)

the interest in the entity that is company A for the purposes of that section that is exchanged is an interest in a non-reporting fund, and

(b)

the interest in the entity that is company B for those purposes that is exchanged is not an interest in such a fund.

(2)

In a case where section 135 of TCGA 1992 would apply apart from paragraph (1), the exchange in question shall for the purposes of this Part constitute a disposal of interests in the non-reporting fund for a consideration equal to their market value at the time of the exchange.

Annotations

Footnotes

f1: Section 135 was substituted by paragraph 1 of Schedule 9 to the Finance Act 2002.