Section 169VD Disposal where holding consists partly of qualifying sharesF1
This section applies where—
a disposal (“the disposal concerned”) is made as mentioned in section 169VC(1), and
at the time immediately before the disposal, only some of the shares in the holding are qualifying shares.
Where this section applies, for the purposes of section 169VC(3) “the appropriate part” of the chargeable gain on the disposal is so much of that chargeable gain as is found by multiplying it by the appropriate fraction.
The appropriate fraction is—
where—
Q is the number of qualifying shares found under subsection (4), and
T is the total number of shares disposed of in the disposal concerned.
The number of qualifying shares found under this subsection is—
all the qualifying shares in the holding at the time immediately before the disposal concerned, or
if less, such number of those qualifying shares as equals the number of shares disposed of in that disposal.
Annotations
Textual amendments
- F1
Pt. 5 Ch. 5 inserted (15.9.2016) by Finance Act 2016 (c. 24), Sch. 14 para. 2
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)
- 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))