Textual Amendments
F1Sch. 7A inserted (27.7.1993 with effect as mentioned in s. 88(3) of the amending Act) by 1993 c. 34, c. 88(2), Sch. 8
11(1)This paragraph applies where provision has been made by or under any enactment (“the transfer legislation”) for the transfer of property, rights and liabilities to any person from—U.K.
(a)a body established by or under any enactment for the purpose, in the exercise of statutory functions, of carrying on any undertaking or industrial or other activity in the public sector or of exercising any other statutory functions;
(b)a subsidiary of such a body; or
(c)a company wholly owned by the Crown.
(2)A loss shall not be a pre-entry loss for the purposes of this Schedule in relation to any company to whom a transfer has been made by or under the transfer legislation if that loss—
(a)accrued to the person from whom the transfer has been made; and
(b)falls to be treated, in accordance with any enactment made in relation to transfers by or under that legislation, as a loss accruing to that company.
(3)For the purposes of this Schedule where a company became a member of the relevant group by virtue of the transfer by or under the transfer legislation of any shares in or other securities of that company or any other company—
(a)a loss that accrued to that company before it so became a member of that group shall not be a pre-entry loss in relation to that group; and
(b)no asset held by that company when it so became a member of that group shall by virtue of that fact be a pre-entry asset.
(4)For the purposes of this paragraph a company shall be regarded as wholly owned by the Crown if it is—
(a)a company limited by shares in which there are no issued shares held otherwise than by, or by a nominee of, the Treasury, a Minister of the Crown, a Northern Ireland department or another company wholly owned by the Crown; or
(b)a company limited by guarantee of which no person other than the Treasury, a Minister of the Crown or a Northern Ireland department, or a nominee of the Treasury, a Minister of the Crown or a Northern Ireland department, is a member.
(5)In this paragraph—
“enactment” includes any provision of any Northern Ireland legislation, within the meaning of section 24 of the M1Interpretation Act 1978; and
“statutory functions” means functions under any enactment, under any subordinate legislation, within the meaning of the Interpretation Act 1978, or under any statutory rules, within the meaning of the M2Statutory Rules (Northern Ireland) Order 1979.]