Paragraph 18 Transfer of chargeable interest from a partnership: generalF1
United Kingdom
This paragraph applies where a chargeable interest is transferred—
from a partnership to a person who is or has been one of the partners, or
from a partnership to a person connected with a person who is or has been one of the partners.
The chargeable consideration for the transaction shall (subject to paragraph 24) be taken to be equal to—
where—
MV is the market value of the interest transferred, and
SLP is the sum of the lower proportions.
Paragraph 20 provides for determining the sum of the lower proportions.
Paragraph 19 applies F3... if the whole or part of the chargeable consideration for the transaction is rent.
For the purposes of this paragraph property that was partnership property before the partnership was dissolved or otherwise ceased to exist shall be treated as remaining partnership property until it is distributed.
This paragraph has effect subject to any election under paragraph 12A.
Annotations
Textual amendments
- F1
Sch. 15 Pt. 3 substituted (with effect in accordance with Sch. 41 para. 3 of the amending Act) by Finance Act 2004 (c. 12), Sch. 41 para. 1
- F2
Sch. 15 para. 18(2) substituted for Sch. 15 para. 18(2)-(4) (with effect in accordance with Sch. 24 para. 11(1)(4) of the amending Act) by Finance Act 2006 (c. 25), Sch. 24 para. 5(1)
- F3
Words in Sch. 15 para. 18(6) repealed (with effect in accordance with Sch. 24 para. 11(1)(4) of the amending Act) by Finance Act 2006 (c. 25), Sch. 24 para. 5(2), Sch. 26 Pt. 7(2)
- F4
Sch. 15 para. 18(8) inserted (21.7.2008) by Finance Act 2008 (c. 9), Sch. 31 para. 7