Corporation Tax Act 2010 (c. 4)

Part 14 U.K. Change in company ownership

Chapter 3 U.K. Company with investment business: restrictions on relief: general provision

Meaning of “significant increase in the amount of a company's capital” U.K.

688 Meaning of “significant increase in the amount of a company's capital” U.K.

(1) This section and sections 689 to 691 have effect for determining whether, for the purposes of section 677(2), there is a significant increase in the amount of a company's capital after a change in the ownership of the company.

(2) There is a significant increase in the amount of a company's capital if amount B—

(a) exceeds amount A by at least £1 million, or

(b) is at least twice amount A.

(3) For the meaning of—

(a) “amount A” and “amount B”, see sections 689 and 690 respectively, and

(b) “amount of capital”, see section 691.