Section 140D Section 140C: anti-avoidance.F1
United Kingdom
Section 140C shall not apply unless the transfer of the F2business or part is effected for bona fide commercial reasons and does not form part of a scheme or arrangements of which the main purpose, or one of the main purposes, is avoidance of liability to income tax, corporation tax or capital gains tax.
Subsection (1) above shall not apply where, before the transfer, the Board have on the application of F3the transferor notified that company that the Board are satisfied that the transfer will be effected for bona fide commercial reasons and will not form part of any such scheme or arrangements as are mentioned in that subsection.
Subsections (2) to (5) of section 138 shall have effect in relation to subsection (2) above as they have effect in relation to subsection (1) of that section.
Annotations
Textual amendments
- F1
S. 140D inserted (retrosp.) by 1992 c. 48, s. 45
- F2
Word in s. 140D(1) substituted (with effect in accordance with reg. 3(1) of the amending S.I.) by The Corporation Tax (Implementation of the Mergers Directive) Regulations 2007 (S.I. 2007/3186), reg. 1(2), Sch. 1 para. 5(b) (with S.I. 2008/1579, reg. 4(1))
- F3
Words in s. 140D(2) substituted (with effect in accordance with reg. 3(1) of the amending S.I.) by The Corporation Tax (Implementation of the Mergers Directive) Regulations 2007 (S.I. 2007/3186), reg. 1(2), Sch. 1 para. 5(a) (with S.I. 2008/1579, reg. 4(1))
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 Transfers concerning companies of different member States
Textual amendments
- F1
Cross heading inserted (retrosp.) by 1992 c. 48, s.44