Finance Act 1988

Postponed charges U.K.

3 (1) Subject to [F1 sub-paragraphs (3) and (4)] below [F2 and to paragraph 1 of Schedule 15 to the Finance Act 1989], this Schedule applies where—

(a) by virtue of any of the enactments specified in sub-paragraph (2) below a gain is treated as accruing in consequence of an event occurring on or after 6th April 1988, and

(b) the gain is attributable (whether directly or indirectly and whether in whole or in part) to the disposal before 6th April 1988 of an asset acquired before 31st March 1982 by the person making that disposal.

(2) The enactments referred to in sub-paragraph (1) above are—

(a) section 268A of the Taxes Act 1970 (postponement of charge where securities acquired in exchange for business acquired by non-resident company);

(b) section 278(3) of that Act (charge on company leaving group in respect of asset acquired from another member of same group);

(c) section 84 of the M1 Capital Gains Tax Act 1979 (postponement of charge where gilts acquired on compulsory acquisition of shares);

(d) section 111B(3) of that Act (postponement of charge where depreciating asset acquired on compulsory acquisition of land);

(e) section 117(2) of that Act F3 . . .;

(f) section 79 of the M2 Finance Act 1981 (activation of charge rolled-over under section 79 of the Finance Act 1980 on emigration of donee); and

(g) paragraph 10 of Schedule 13 to the M3 Finance Act 1984 (postponement of charge on reorganisation etc. involving acquisition of qualifying corporate bonds).

(3) Where a gain is treated as accruing by virtue of section 278(3) of the Taxes Act 1970 this Schedule applies only if the asset was acquired by the chargeable company (within the meaning of section 278) before 6th April 1988.

[F4 (4) Where a gain is treated as accruing in consequence of an event occurring on or after 19th March 1991, this Schedule does not apply if—

(a) the gain is attributable (whether directly or indirectly and whether in whole or part) to the disposal of an asset on or after 6th April 1988, or

(b) the amount of the gain would have been less had relief by virtue of a previous application of this Schedule been duly claimed.]

Textual Amendments

F1 Words in Sch. 9 para. 3(1) substituted (25.07.1991) by Finance Act 1991 (c. 31, SIF 63:2), s. 101(6)

F2 Words in Sch. 9 para. 3(1) inserted(retrosp.) by Finance Act 1989 (c. 26, SIF 63:2), s. 141, Sch. 15 para. 2.

F3 Words in Sch. 9 para. 3(2)(e) repealed (25.07.1991) by Finance Act 1991 (c. 31, SIF 63:2), ss. 101(7), 123, Sch. 19 Pt.VI

F4 Sch. 9 para. 3(4) inserted (25.07.1991) by Finance Act 1991 (c. 31, SIF 63:2), s. 101(8)

Marginal Citations

M1 1979 c. 14.

M2 1981 c. 35.

M3 1984 c. 43.