The Friendly Societies (Taxation of Transfers of Business) Regulations 1995

Modifications of section 440 of the Taxes Act in certain cases

5.—(1) This regulation applies to the following cases, that is to say—

(a) the transfer of the whole or part of the business of a directive society or a section 37(3) society to a non-directive society;

(b) the transfer of the whole or part of the business of a non-directive society to a directive society or a section 37(3) society;

(c) the amalgamation of a directive society or a section 37(3) society and a non-directive society;

(d) the transfer of the whole or part of the business of a non-directive society to a company which is not a friendly society; and

(e) the conversion of a non-directive society into a company which is not a friendly society.

(2) In any case to which this regulation applies, section 440(2) of the Taxes Act, in so far as it applies in relation to that case by virtue of section 463(2) of the Taxes Act, shall not have effect in relation to any assets which—

(a) cease to be within the category in paragraph (d) of subsection (4) of section 440 of the Taxes Act and come within the category in paragraph (e) of that subsection; or

(b) cease to be within the category in paragraph (e) of that subsection and come within the category in paragraph (d) of that subsection.