Transport Act 1968

160 Stamp duty

(1) Nothing in section 12 of the [1895 c. 16.] Finance Act 1895 (which requires Acts to be stamped as conveyances on sale in certain cases) or in section 52 of the [1946 c. 64.] Finance Act 1946 (which exempts from stamp duty certain documents connected with nationalisation schemes) shall be taken as applying to this Act.

(2) Where the Commissioners of Inland Revenue are satisfied that the conditions specified in paragraph (a), (b) or (c) of subsection (3) of this section are fulfilled, stamp duty shall not be chargeable—

(a) under section 112 of the [1891 c. 39.] Stamp Act 1891 in respect of the amount which is to form the nominal share capital of a company, or in respect of any increase in the nominal share capital of a company ; or

(b) under section 8 of the [1899 c. 9.] Finance Act 1899 in respect of the amount proposed to be secured by an issue of loan capital by a company,

if or to the extent that the Commissioners are also satisfied—

(i) in a case falling within paragraph (a) or (b) of the said subsection (3), that the total capital of the company, whether nominal share capital or loan capital, on the relevant transfer date referred to in the said paragraph (a) or (b) will not exceed the total value of the assets less liabilities transferred;

(ii) in a case falling within paragraph (c) of that subsection, that the amount or aggregate amount of the increase of nominal share capital or of the loan capital to be issued or of both does not exceed the total value of the assets less liabilities to be transferred.

(3) The conditions referred to in subsection (2) of this section are—

(a) that the company is a company formed in pursuance of subsection (2) of section 5 of this Act, and, in the case of an increase of nominal share capital or an issue of loan capital, that the increase or issue is to take place before the transfer date for the purposes of subsection (3)(a) of that section ;

(b) that the company is a company formed for the purpose of a transfer to be effected by section 4(1), 7(5), 8(4), 17(5), 28(1) or (2), 29(2) or 53(2) of this Act and, in the case of an increase of nominal share capital or issue of loan capital, that the increase or issue is to take place before the transfer date ;

(c) in the case of an increase of nominal share capital or issue of loan capital to which paragraph (a) or (b) of this subsection does not apply, that the increase or issue is for the purpose of a transfer to be effected by section 7(5), 8(4) or 53(2) of this Act and is to take place before the transfer date.

(4) Stamp duty shall not be chargeable under section 8 of the [1899 c. 9.] Finance Act 1899 in respect of the amount proposed to be secured by an issue of loan capital by the Executive for a designated area within the meaning of section 9(1) of this Act if or to the extent that the Commissioners of Inland Revenue are satisfied—

(a) that the issue will take place before the transfer date for the transfers to that Executive under section 17(5) of this Act; and

(b) that the total loan capital of that Executive on that date will not exceed the total value of the assets less liabilities to be transferred.

(5) Stamp duty shall not be chargeable on any instrument which is certified to the Commissioners of Inland Revenue by the appropriate Board or new authority or appropriate Executive established under section 9(1) of this Act as having been made or executed in pursuance of Schedule 4 to this Act otherwise than by virtue of section 7(7)(b) thereof ; but no such instrument shall be deemed to be duly stamped unless it is stamped with the duty to which it would but for this subsection be liable or it has, in accordance with the provisions of section 12 of the [1891 c. 39.] Stamp Act 1891, been stamped with a particular stamp denoting that it is not chargeable with any duty or that it is duly stamped.