Paragraph 9

United Kingdom

Where a company makes an exempt distribution which falls within F1Section 213(3)(a) of the Taxes Act 1988

(a)

the distribution shall not be a capital distribution for the purposes of section 72 of the Capital Gains Tax Act 1979 (disposal on receipt of capital distribution); and

(b)

sections 77 to 81 of that Act shall, with the necessary modifications, apply as if that company and the subsidiary whose shares are transferred were the same company and the distribution were a reorganisation of its share capital.

Annotations

Textual amendments

F1: Income and Corporation Taxes Act 1988 (c. 1, SIF 63:1), Sch. 29 para. 32

Notes on Schedule 18

Textual amendments

F1: Sch. 18 repealed (6.3.1992 with effect as mentioned in s. 289(1)(2) of the repealing Act) by Taxation of Chargeable Gains Act 1992 (c. 12), s. 290, Sch.12 (with ss. 60, 101(1), 201(3), Sch. 11 paras. 22, 26(2), 27).