(This note is not part of the Regulations)
These Regulations deal with tax consequences of transfers of property, rights and liabilities from the Olympic Park Legacy Company Limited (“OPLC”) to the London Legacy Development Corporation (“LLDC”) made under the London Legacy Development Corporation and the Olympic Park Legacy Company Transfer Scheme 2012 (“the OPLC Scheme”). They also deal with tax consequences of transfers of trading stock from the London Thames Gateway Development Corporation (“LTGDC”) to LLDC under the London Legacy Development Corporation and the London Thames Gateway Development Corporation (No. 1) Transfer Scheme 2012 (“the LTGDC Scheme”).
Regulation 1 provides for citation and commencement.
Regulation 2 provides for interpretation.
Regulation 3 covers transfers from OPLC to LLDC under the OPLC Scheme. Paragraph (2) treats OPLC and LLDC as the same person for income tax and corporation tax purposes and allows generally for the transfers to be disregarded for such purposes. Paragraph (3) provides, for the specific purpose of Part 8 of the Corporation Tax Act 2009 (c. 4), that the transfers do not involve the realisation of an asset by OPLC or the acquisition of an asset by LLDC. Paragraph (4) provides that no change in ownership of a company results following a transfer for the purposes of Part 14 of the Corporation Tax Act 2010 (c. 4). Paragraph (5) provides that no liability to stamp duty land tax arises from the transfers.
Regulation 4 covers transfers from LTGDC to LLDC under the LTGDC Scheme. It does this by treating the disposal of LTGDC’s trading stock as having taken place in the course of its trade, and treating that disposal and the acquisition of LTGDC’s trading stock by LLDC as being at the time of the transfers and at a value which results in neither a profit nor a loss being brought into account.
A Tax Information and Impact Note covering these Regulations will be published on the HMRC website at http://www.hmrc.gov.uk/thelibrary/tiins.htm.