Section 138ZC Election to disapply section 135 or 136F1
This section applies where section 138ZB would, but for an election under this section, apply in relation to the issue by a company of shares in or debentures of that company in exchange for, or in respect of, shares in or debentures of another company.
The person to whom the shares or debentures are issued may elect for section 135 or 136 not to apply to the issue, and accordingly—
the exchange or scheme of reconstruction in question will not be treated as a reorganisation within the meaning of section 126, and
section 138ZB will not apply in relation to the issue.
An election under this section must be made on or before the first anniversary of the 31 January following the tax year in which the shares or debentures are issued.
Annotations
Textual amendments
- F1
Ss. 138ZA-138ZC inserted (with effect in accordance with s. 36(4) of the amending Act) by Finance (No. 2) Act 2023 (c. 30), s. 36(2)
Notes on Part IV
Modifications
- C1
Pt. IV: power to modify conferred (7.4.2005) by Finance Act 2005 (c. 7), s. 21(8)-(10)
Notes on Chapter II
Modifications
- C1
Pt. IV Ch. II modified (1.1.1999) by The European Single Currency (Taxes) Regulations 1998 (S.I. 1998/3177), regs. 1, 39
- C2
Pt. IV Ch. II modified (with effect in accordance with s. 63(4) of the amending Act) by Finance Act 2000 (c. 17), Sch. 15 para. 88
Notes on Company reconstructions ...
Textual amendments
- F1
Words in s. 135 cross-heading repealed (with effect in accordance with Sch. 9 paras. 7, 8, Sch. 40 Pt. 3(2) Note of the amending Act) by Finance Act 2002 (c. 23), Sch. 40 Pt. 3(2)