C1C4C6C7C8Part 5Loan Relationships
Pt. 5 applied (with modifications) (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 990(5), 1184(1) (with Sch. 2)
Pt. 5 modified (15.11.2011 for specified purposes, 30.3.2012 for E.W.) by Localism Act 2011 (c. 20), ss., 240(5)(o), Sch. 24 para. 5; S.I. 2012/628, art. 3(b)
Pt. 5 modified (1.4.2012) by Budget Responsibility and National Audit Act 2011 (c. 4), s. 29, Sch. 4 para. 2; S.I. 2011/2576, art. 5
C2C3C4C5Chapter 4Continuity of treatment on transfers within groups or on reorganisations
Pt. 5 Ch. 4 modified (1.1.2010) by Northern Rock plc (Tax Consequences) Regulations 2009 (S.I. 2009/3227), regs. 1, 5
Pt. 5 Ch. 4 modified (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 601, 1184(1) (with Sch. 2)
Pt. 5 Ch. 4 modified (1.10.2011) by Postal Services Act 2011 (c. 5), s. 93(2)(3), Sch. 2 para. 5; S.I. 2011/2329, art. 3
Application of this Chapter
336Transfers of loans on group transactions
1
The case referred to in section 335(1)(a) is where—
a
there is a transaction within subsection (2) or a series of transactions within subsection (3), and
b
as a result one of the companies involved (“the transferee”) directly or indirectly replaces the other (“the transferor”) as a party to a loan relationship.
2
A transaction is within this subsection if it is a related transaction between two companies which are—
a
members of the same group, and
b
within the charge to corporation tax in respect of that transaction.
3
A series of transactions is within this subsection if it is a series having the same effect as a related transaction between two companies each of which—
a
has been a member of the same group at any time in the course of that series, and
b
would be within the charge to corporation tax in respect of such a related transaction.
4
This Chapter does not apply as a result of this section in relation to—
a
a transfer of an asset, or
b
a transfer of rights under, or an interest in, an asset,
as a result of a transaction within subsection (2) or a series of transactions within subsection (3) if immediately before or after the transfer the asset F2is held for the purposes of a company's long-term business.
F14A
For the purposes of subsection (4)—
a
in the case of an overseas life insurance company, ignore transfers in relation to assets which are not UK assets (within the meaning of section 117 of FA 2012), and
b
section 122 of that Act applies as it applies for the purposes of Chapter 8 of Part 2 of that Act.
5
In this Chapter, in relation to a case within subsection (1), “the transferee” and “the transferor” have the same meaning as in that subsection.
Pt. 5 applied (with effect in accordance with Sch. 24 paras. 13-16 of the amending Act) by Finance Act 2009 (c. 10), Sch. 24 para. 15(2)(3)