# The Offshore Funds (Tax) Regulations 2009, Regulation 35: Application of section 135 of TCGA 1992


(1) Section 135 of TCGA 1992 (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.

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Source: https://www.legislation.gov.uk/ukdsi/2009/9780111486313/regulation/35 (the official version)
Page: https://openlegislation.uk/draft-offshore-funds-tax-regulations-2009/regulation-35
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.