Section 169L Relevant business assetsF1

United Kingdom

(1)

If a qualifying business disposal is one which does not consist of the disposal of (or of interests in) shares in or securities of a company, F2business asset disposal relief is given only in respect of the disposal of relevant business assets comprised in the qualifying business disposal.

(2)

In this Chapter “relevant business assets” means assets (includingF3, subject to section 169LA, goodwill) which are, or are interests in, assets to which subsection (3) applies, other than excluded assets (see subsection (4) below).

(3)

This subsection applies to assets which—

(a)

in the case of a material disposal of business assets, are assets used for the purposes of a business carried on by the individual or a partnership of which the individual is a member,

(b)

in the case of a disposal of trust business assets, are assets used for the purposes of a business carried on by the qualifying beneficiary or a partnership of which the qualifying beneficiary is a member, or

(c)

in the case of a disposal associated with a relevant material disposal, are assets used for the purposes of a business carried on by the partnership or company.

(4)

The following are excluded assets—

(a)

shares and securities, and

(b)

assets, other than shares or securities, which are held as investments.

Annotations

Textual amendments

F1: Pt. 5 Ch. 3 inserted (with effect in accordance with Sch. 3 para. 5 of the amending Act) by Finance Act 2008 (c. 9), Sch. 3 para. 2 (with Sch. 3 paras. 6-8)
F2: Words in Act substituted (with effect for the tax year 2020-21 and subsequent tax years) by Finance Act 2020 (c. 14), Sch. 3 paras. 7(2)(a), 8 (with Sch. 3 para. 7(3))
F3: Words in s. 169L(2) inserted (with effect in accordance with s. 42(5) of the amending Act) by Finance Act 2015 (c. 11), s. 42(3)

Notes on Part V

Textual amendments

F1: Words in Pt. 5 heading inserted (15.9.2016) by Finance Act 2016 (c. 24), Sch. 14 para. 1(1)