SCHEDULES

SCHEDULE 24 Provisions relating to the Railways Act 1993

Chargeable gains: section 30 of the Gains Act

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1

Nothing in Part II or III of the M1Railways Act 1993, and no instrument or agreement made, or other thing done, under or by virtue of either of those Parts, shall be regarded as a scheme or arrangement for the purposes of section 30 of the Gains Act (value-shifting).

2

In any case where—

a

an asset which is the subject of a relevant transfer or qualifying disposal has previously been the subject of a scheme or arrangements falling within subsection (1) of that section,

b

in consequence, subsection (5) of that section (consideration on disposal to be treated as increased for certain purposes) would, apart from sub-paragraph (3) below, have had effect in relation to the consideration for the relevant transfer or qualifying disposal, and

c

the consideration for the relevant transfer or qualifying disposal falls to be determined under paragraph 2 above or paragraph 7(2), 11(3) or 25(2) below,

sub-paragraph (3) below shall apply.

3

Where this sub-paragraph applies—

a

the said subsection (5) shall not have effect in relation to the consideration for the relevant transfer or qualifying disposal; but

b

on the first subsequent disposal of the asset which is neither a relevant transfer or qualifying disposal nor a group disposal—

i

that subsection shall have effect in relation to the consideration for that disposal (whether or not it would otherwise have done so); and

ii

the increase that falls to be made under that subsection shall be so calculated as to include any increase which would, but for paragraph (a) above, have fallen to be made in relation to the relevant transfer or qualifying disposal.

4

In this paragraph—

  • “group disposal” means a disposal which falls to be treated by virtue of section 171(1) of the Gains Act as made for a consideration such that no gain or loss accrues to the person making the disposal;

  • “qualifying disposal” means—

    1. a

      a disposal to which paragraph 7(2) below applies; or

    2. b

      a disposal falling within paragraph 11(3) or 25(2) below.