The Corporation Tax (Implementation of the Mergers Directive) Regulations 2007 No. 3186

SCHEDULE 1 U.K. CROSS-BORDER TRANSFERS OF BUSINESS

Modifications etc. (not altering text)

C1 Sch. 1 modified (retrospective to 29.11.2007) by The Corporation Tax (Implementation of the Mergers Directive) Regulations 2008 (S.I. 2008/1579), regs. 1(2), 4

PART 4 U.K. AMENDMENTS OF FA 2002

20.—(1) Paragraph 30A M1 of Schedule 26 (transferee leaving group) is amended as follows. U.K.

(2) After sub-paragraph (5) insert—

“(5A) Where rights and liabilities under a derivative contract are transferred as part of the process of a transfer to which paragraph 30B or 30D applies, and in consequence of the transfer the transferee company ceases to be a member of a group (“Group 1”)—

(a) the transferee shall not be treated for the purposes of this paragraph as having left Group 1, and

(b) if in consequence of the transfer the transferee becomes a member of another group (“Group 2”) it shall be treated, for the purposes of this paragraph, as if Group 1 and Group 2 were the same.”.

(3) In sub-paragraph (8), in the definition of “exempt distribution” after “section 213(2)” insert “ or 213A ”.

Marginal Citations

M1 Paragraph 30A was inserted by paragraph 24(1) of Schedule 7 to the Finance (No. 2) Act 2005.