SCHEDULE 7PARTNERSHIPS
PART 9APPLICATION OF EXEMPTIONS, RELIEFS, PROVISIONS OF TCMA AND NOTIFICATION PROVISIONS
Sum of the lower portions: connected company
I141
1
This paragraph applies where in calculating the sum of the lower proportions in relation to a transaction (in accordance with paragraph 14)—
a
a company (““the connected company””) would have been a corresponding partner of a relevant owner (““the original owner””) but for the fact that, by virtue of paragraph 16(1)(b), Step 2 includes connected persons only if they are individuals, and
b
the connected company and the original owner are members of the same group.
2
The charge in respect of the transaction is to be reduced to the amount that would have been payable had the connected company been a corresponding partner of the original owner for the purposes of calculating the sum of the lower proportions.
3
The provisions of Schedule 16 apply to relief under sub-paragraph (2) as to group relief under paragraph 2(1) of that Schedule, but—
a
as if paragraph 4(3)(a) were omitted,
b
as if in paragraph 8(2)(a) for ““the buyer”” there were substituted “
a partner who was, at the effective date of the transaction, a partner and a member of the same group as the transferor (““the relevant partner””)
”
, and
c
with the other modifications specified in paragraph 40.