C4Part IV Shares, securities, options etc.
Chapter I General
Share pooling, identification of securities, and indexation
C8C2C3C6C7104 Share pooling: general interpretative provisions.
C11
Any number of securities of the same class acquired by the same person in the same capacity shall for the purposes of this Act F4(subject to express provision to the contrary) be regarded as indistinguishable parts of a single asset growing or diminishing on the occasions on which additional securities of the same class are acquired or some of the securities of that class are disposed of.
F52
For the purposes of corporation tax, subsection (1) does not apply to any securities acquired by a company before 1 April 1982.
2A
See also sections 105 to 105B and—
a
section 106A in the case of capital gains tax, or
b
sections 107 to 114 in the case of corporation tax.
3
For the purposes of this section and sections 105, 107, 110 F6... and 114—
F1“a section 104 holding” is a holding of securities which, by virtue of subsection (1) above, is to be regarded as a single asset;
“securities” does not include relevant securities as defined in section 108 but, subject to that, means—
- i
shares or securities of a company; and
- ii
any other assets where they are of a nature to be dealt in without identifying the particular assets disposed of or acquired; and
- i
“relevant allowable expenditure” has the meaning assigned to it by section 53(2)(b) and (3);
but shares or securities of a company shall not be treated as being of the same class unless they are so treated by the practice of a recognised stock exchange or would be so treated if dealt with on a recognised stock exchange.
F73A
For the purposes of capital gains tax section 35(2) applies in relation to a section 104 holding as if the reference to an asset were to any of the securities constituting or forming part of the section 104 holding which were held by the person making the disposal on 31 March 1982.
C5F24
For the purposes of this Chapter securities of a company which are held—
a
by a person who acquired them as an employee of the company or of any other person, and
b
on terms which for the time being restrict his right to dispose of them,
shall (notwithstanding that they would otherwise fall to be treated as of the same class) be treated as of a different class from any securities acquired by him otherwise than as an employee of the company or of any other person and also from any shares that are not held subject to restrictions, or the same restrictions, on disposal or in the case of which the restrictions are no longer in force.
5
Nothing in this section or sections 110 F8... and 114 shall be taken as affecting the manner in which the market value of any securities is to be ascertained.
6
Without prejudice to the generality of subsections (1) and (2) above, a disposal of securities in a F3section 104 holding, other than a disposal of the whole of it, is a disposal of part of an asset and the provisions of this Act relating to the computation of a gain accruing on a disposal of part of an asset shall apply accordingly.
Pt. IV: power to modify conferred (7.4.2005) by Finance Act 2005 (c. 7), s. 21(8)-(10)