Part 8Intangible fixed assets

Chapter 16Pre-FA 2002 assets etc

Assets treated as pre-FA 2002 assets

892Certain assets acquired on transfer of business

1

This section applies if—

a

a company (“the transferor”) transfers to another company (“the transferee”) an asset that is a pre-FA 2002 asset in the hands of the transferor company,

b

the transfer is one in relation to which the transferor is treated for the purposes of TCGA 1992 as disposing of the asset for a consideration that secures that neither a gain nor a loss accrues to it, and

c

it is so treated because of a provision specified in subsection (2).

2

The provisions are—

a

section 139 of TCGA 1992 (reconstruction involving transfer of business),

b

section 140A of that Act (transfer or division of UK business), and

c

section 140E of that Act (merger leaving assets within UK tax charge).

3

In the hands of the transferee the asset is treated for the purposes of this Part as a pre-FA 2002 asset.

4

This section does not apply if the transfer mentioned in subsection (1) occurred before 28 June 2002.