Search Legislation

Housing and Regeneration Act 2008

Status:

This is the original version (as it was originally enacted).

Sections 51(5), 65(5)

SCHEDULE 7Transfer schemes: tax

This schedule has no associated Explanatory Notes

Overview

1This Schedule makes provision about the fiscal effect of transfers under schemes made under sections 51 and 65.

Key concepts

2(1)In this Schedule—

(a)“transfer scheme” means a scheme under section 51 or 65, and

(b)“transfer” means a transfer under a transfer scheme.

(2)In this Schedule “transfer between bodies” means a transfer—

(a)from the Urban Regeneration Agency, the Commission for the New Towns or the Housing Corporation, and

(b)to the HCA or the Regulator of Social Housing.

(3)In this Schedule “transfer to government” means a transfer to—

(a)a Minister of the Crown, or

(b)the Welsh Ministers.

Other definitions

3(1)In this Schedule—

(a)ICTA means the Income and Corporation Taxes Act 1988 (c. 1),

(b)TCGA means the Taxation of Chargeable Gains Act 1992 (c. 12),

(c)FA 1996 means the Finance Act 1996 (c. 8),

(d)FA 2002 means the Finance Act 2002 (c. 23), and

(e)HMRC means the Commissioners for Her Majesty’s Revenue and Customs.

(2)In this Schedule a reference to a trade includes a reference to part of a trade.

Corporation tax: continuity of trade

4(1)This paragraph applies if as the result of a transfer scheme—

(a)a transferor ceases a trade, and

(b)a transferee commences it.

(2)In connection with the computation of profits and losses for the purpose of corporation tax in respect of periods wholly or partly after the commencement of the transfer scheme—

(a)the transferee shall be treated as having always carried on the trade, and

(b)the trade shall be considered separately from any other trade of the transferee (with any necessary apportionment being made).

Corporation tax: capital allowances

5(1)This paragraph applies in respect of property transferred under a transfer scheme from—

(a)the Urban Regeneration Agency, or

(b)the Commission for the New Towns.

(2)Where the property was used by the transferor, and is to be used by the transferee, in connection with a trade, section 343(2) of ICTA (company reconstructions: capital allowances) shall apply.

6The following transfers shall be treated as giving rise to neither allowance nor charge for the purposes of capital allowances in respect of a trade (and allowances shall be calculated as if the transferee had always carried on the trade)—

(a)a transfer from the Housing Corporation, and

(b)a transfer to government.

Corporation tax: capital gains

7(1)This paragraph applies in respect of property transferred under a transfer scheme from—

(a)the Urban Regeneration Agency,

(b)the Commission for the New Towns, or

(c)the Housing Corporation.

(2)Section 17 of TCGA (disposals and acquisitions treated as at market value) shall not apply.

(3)For the purposes of TCGA the transfer (in relation to the transferor and the transferee) is to be taken as being a disposal for a consideration such that neither gain nor loss accrues.

8A transfer shall be disregarded for the purposes of section 30 of TCGA (value-shifting: tax-free benefits).

9At the end of section 35(3)(d) of TCGA (re-basing to 1982) add—

(xviii)Schedule 7 to the Housing and Regeneration Act 2008.

Corporation tax: intangible assets

10(1)This paragraph applies for the purposes of Schedule 29 to FA 2002 (intangible assets).

(2)Expressions used in this paragraph have the same meaning as in that Schedule.

(3)A transfer between bodies of a chargeable intangible asset is a tax-neutral transfer.

(4)An intangible fixed asset which is an existing asset of the transferor at the time of a transfer between bodies is to be treated, on and after the transfer, as an existing asset of the transferee.

(5)A transfer to government of a chargeable intangible asset is to be treated as not involving a realisation of the asset by the transferor.

Corporation tax: loan relationships

11(1)If as a result of a transfer the transferee replaces the transferor as a party to a loan relationship, paragraph 12(2) of Schedule 9 to FA 1996 (transfer within group: continuity of treatment) shall apply (whether or not the transferor and transferee are bodies corporate).

(2)Expressions used in this paragraph have the same meaning as in that Schedule.

Stamp duty

12(1)Stamp duty shall not be chargeable on a transfer scheme.

(2)Stamp duty shall not be chargeable on a document certified by HMRC as connected with a transfer scheme.

(3)A document which is not chargeable by virtue of this paragraph must be stamped in accordance with section 12 of the Stamp Act 1891 (c. 39) with a stamp denoting that it is not chargeable.

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 the Whole Act without Schedules

The Whole Act without 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?

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

See additional information alongside the content

Show Explanatory Notes for Sections: Displays relevant parts of the explanatory notes interweaved within the legislation content.

Close

Opening Options

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

Close

Explanatory Notes

Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.

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

Impact Assessments

Impact Assessments generally accompany all UK Government interventions of a regulatory nature that affect the private sector, civil society organisations and public services. They apply regardless of whether the regulation originates from a domestic or international source and can accompany primary (Acts etc) and secondary legislation (SIs). An Impact Assessment allows those with an interest in the policy area to understand:

  • Why the government is proposing to intervene;
  • The main options the government is considering, and which one is preferred;
  • How and to what extent new policies may impact on them; and,
  • The estimated costs and benefits of proposed measures.
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