Search Legislation

Finance Act 1999

Status:

This is the original version (as it was originally enacted).

118Relief in case of certain replacement securities

(1)After section 95 of the [1986 c. 41.] Finance Act 1986 (depositary receipts: exceptions) insert—

95ADepositary receipts: exception for replacement securities

(1)There shall be no charge to tax under section 93 above in respect of the transfer, issue or appropriation of chargeable securities (“the new securities”) issued by a company in place of existing securities of the same company (“the old securities”) if the following conditions are met.

(2)The first condition is that the old securities are held under a depositary receipt scheme.

(3)The second condition is that—

(a)there was a charge to tax under section 93 above in respect of the transfer, issue or appropriation—

(i)of the old securities, or

(ii)of earlier securities in relation to which on a previous application of this section those securities were the new securities,

or there would have been such a charge if that section had been in force; or

(b)there would have been such a charge but for section 95(2) or (3) above.

(4)The third condition is that there is an arrangement under which—

(a)the new securities are transferred, issued or appropriated as mentioned in section 93(1)(b), and

(b)the old securities are cancelled.

(5)For the purposes of subsection (2) above the cases in which securities are held under a depositary receipt scheme are those specified (in relation to shares) in section 95(5) above.

(6)The exception provided by this section applies only to the extent that the value of the new securities immediately after their issue does not exceed the value of the old securities immediately before the issue of the new securities..

(2)In section 99(10) of that Act (meaning of “chargeable securities”), after “95,” insert “95A,”.

(3)After section 97 of that Act (clearance services: exceptions) insert—

97AAClearance services: further exception

(1)There shall be no charge to tax under section 96 above in respect of the transfer or issue of chargeable securities (“the new securities”) issued by a company in place of existing securities of the same company (“the old securities”) if the following conditions are met.

(2)The first condition is that the old securities are held under a clearance services scheme.

(3)The second condition is that—

(a)there was a charge to tax under section 96 above in respect of the transfer or issue—

(i)of the old securities, or

(ii)of earlier securities in relation to which on a previous application of this section those securities were the new securities,

or there would have been such a charge if that section had been in force; or

(b)there would have been such a charge but for section 97(3) or (4) above.

(4)The third condition is that there is an arrangement under which—

(a)the new securities are transferred or issued as mentioned in section 96(1)(b), and

(b)the old securities are cancelled.

(5)For the purposes of subsection (2) above the cases in which securities are held under a clearance services scheme are those specified (in relation to shares) in section 97(6) above.

(6)The exception provided by this section applies only to the extent that the value of the new securities immediately after their issue does not exceed the value of the old securities immediately before the issue of the new securities..

(4)In section 99(10) of that Act (meaning of “chargeable securities”), after “97” insert “, 97AA”.

(5)This section applies in relation to securities issued on or after 1st May 1998.

Back to top

Options/Help

Print Options

You have chosen to open The Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open The Whole Act as a PDF

The Whole Act you have selected contains over 200 provisions and might take some time to download.

Would you like to continue?

You have chosen to open the Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open Schedules only

The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources