F1SCHEDULE 1AAssets deriving 75% of value from UK land etc
PART 2Whether asset derives at least 75% of its value from UK land
Exception for certain disposals of rights or interests under same arrangements etc
6
(1)
This paragraph applies if—
(a)
there are two or more disposals of rights or interests in companies,
(b)
the disposals are linked with each other,
(c)
some but not all of the disposals would, apart from this paragraph, be disposals of assets deriving at least 75% of their value from UK land, and
(d)
if one of the companies included all of the assets of the others, a disposal of a right or interest in it would not be a disposal of an asset deriving at least 75% of its value from UK land.
(2)
None of the disposals are to be regarded as disposals of assets deriving at least 75% of their value from UK land.
(3)
In determining whether the condition in sub-paragraph (1)(d) is met in the case of a disposal of a right or interest in a company, it is to be assumed that, for the purposes of paragraph 4, each of the other companies in which rights or interest are disposed of is (so far as this would not otherwise be the case) a related party of the company on the day of the disposal.
(4)
For the purposes of this paragraph a disposal of a right or interest in a company is linked with a disposal of a right or interest in another company if—
(a)
the disposals are made under the same arrangements,
(b)
the disposals are made by the same person or by persons connected with each other,
(c)
the disposals are made to the same person or to persons connected with each other, and
(d)
in the case of each disposal, the person making the disposal is connected with the company in which the right or interest is disposed of.
(5)
For the purposes of this paragraph, the question whether or not a person is connected with another is to be determined immediately before the arrangements are entered into.
(6)
Section 286 (connected persons: interpretation) has effect for the purposes of this paragraph as if, in subsection (4), the words “Except in relation to acquisitions or disposals of partnership assets pursuant to bona fide commercial arrangements,” were omitted.