# Taxation of Chargeable Gains Act 1992, Section 195D: Company that receives mixed consideration: N does not exceed C


(1) This section applies to a mixed-consideration swap if—
(a) the no gain/no loss amount (“N”) of the company that receives the mixed consideration (“company R”) does not exceed
(b) the amount of non-licence consideration (“C”) which company R receives.
(2) As regards the licence, or each licence, which company R acquires, company R is to be treated as if it had acquired the licence for nil consideration.
(3) In a case where company R disposes of only one licence, company R is to be treated as if, on the disposal of the licence, there had arisen a gain of—
C-N
(4) In a case where company R disposes of two or more licences, as regards each licence disposed of, company R is to be treated as if, on the disposal of the licence, there had arisen a gain of—
(C-N)×DTDwhere—
D is the value of the licence disposed of, and
TD is total value of all the licences disposed of.

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Source: https://www.legislation.gov.uk/ukpga/1992/12/section/195D (the official version)
Page: https://openlegislation.uk/taxation-of-chargeable-gains-act-1992/section-195D
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.