# Finance Act 2000, Paragraph 138


(1) Paragraph 65(1)(a) (chargeable gain: disposal of tonnage tax assets) has effect in relation to gains (but not losses) on all relevant disposals as if the company had never been a tonnage tax company.
(2) For this purpose a “relevant disposal” means a disposal—
(a) on or after the day on which the company ceases to be a tonnage tax company, or
(b) at any time during the period of six years immediately preceding that day when the company was a tonnage tax company.
(3) Where sub-paragraph (1) operates to increase the amount of the chargeable gain on a disposal made at a time within the period mentioned in sub-paragraph (2)(b), the gain is treated to the extent of the increase—
(a) as arising immediately before the company ceased to be a tonnage tax company, and
(b) as not being relevant shipping profits of the company.
(4) No relief, deduction or set-off of any description is allowed against the amount of that increase or the corporation tax on that amount.

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Source: https://www.legislation.gov.uk/ukpga/2000/17/schedule/22/paragraph/138 (the official version)
Page: https://openlegislation.uk/finance-act-2000/schedule-22/paragraph-138
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.