SCHEDULES

[F1SCHEDULE 1AU.K.Assets deriving 75% of value from UK land etc

Textual Amendments

F1Sch. 1A inserted (with effect in accordance with Sch. 1 paras. 120, 123 of the amending Act) by Finance Act 2019 (c. 1), Sch. 1 para. 14

PART 3U.K.Whether person has substantial indirect interest in UK land

Basic ruleU.K.

8(1)If—U.K.

(a)a person disposes of an asset consisting of a right or an interest in a company, and

(b)the asset derives at least 75% of its value from UK land,

the person has a substantial indirect interest in UK land if, at any time in the period of 2 years ending with the time of the disposal, the person has a 25% investment in the company.

(2)But a person is not to be regarded as having a 25% investment in the company at times falling in the person's qualifying ownership period if, having regard to the length of that period, the times (taken as whole) constitute an insignificant proportion of that period.

(3)The “person's qualifying ownership period” means the period throughout which the person has held an asset consisting of a right or an interest in the company, but excluding times that fall before the beginning of the 2 year period mentioned in sub-paragraph (1).]