Part IIIU.K. General

38 Corporation tax.U.K.

(1)The following provisions apply for the purposes of the Corporation Tax Acts.

(2)Any trade or part of a trade transferred under a transfer scheme is to be treated as having been, at the time of its commencement and at all times since that time, a separate trade carried on by the transferee.

(3)Where any trade, or part of a trade, is transferred under a transfer scheme, the trade carried on by the transferee after the date of the transfer is to be treated as the same trade as that which, by virtue of subsection (2), it is treated as having carried on before that date.

(4)All property, rights and liabilities transferred under a transfer scheme are to be treated as having been, at the time when they became vested in the transferor, and at all times since that time, property, rights and liabilities of the transferee.

(5)Anything done, in relation to property, rights and liabilities transferred under a transfer scheme, by the transferor is to be deemed to have been done by the transferee.

(6)Where any property, rights and liabilities transferred under a transfer scheme became vested in the transferor by virtue of a transfer made by a company in which, at the time of the transfer, the transferor held an interest, that interest is to be deemed to have been held at that time by the transferee.

(7)Where any property, rights and liabilities transferred under a transfer scheme became vested in the transferor by virtue of a qualifying transfer, or two or more successive qualifying transfers—

(a)subsection (4) has effect as if the reference to the time when the property, rights and liabilities became vested in the transferor were a reference to the time when they became vested in the original transferor (that is to say, the transferor under the qualifying transfer or, as the case may be, the first of the qualifying transfers), and

(b)if the property, rights and liabilities became vested in the original transferor by virtue of a transfer made by a company in which, at the time of the transfer, the original transferor held an interest, that interest is to be deemed to have been held at that time by the transferee under the transfer scheme.

(8)The previous provisions of this section are subject to such apportionments of unallowed tax losses and of expenditure by reference to which capital allowances may be made as may be specified in the transfer scheme concerned.

(9)This section has effect in relation to accounting periods beginning after the final accounting period.

(10)In this section—

Textual Amendments

Modifications etc. (not altering text)

C1S. 38 applied (prosp.) by 1999 c. 29, ss. 408(6), 425 (with Sch. 12 para. 9(1))

S. 38 applied (12.1.2000) by 1999 c. 29, s. 409(5) (with Sch. 12 para. 9(1)); S.I. 1999/3434, art. 2

Commencement Information

I1S. 38 wholly in force at 3.7.2000; s. 38 not in force at Royal Assent see s. 43; s. 38 in force for certain purposes at 25.11.1998 by S.I. 1998/2952, art. 2(2); s. 38 in force at 3.7.2000 in so far as not already in force by S.I. 2000/1173, art. 2(2)(c)

Marginal Citations

39 Stamp duty.U.K.

(1)Stamp duty shall not be chargeable on—

(a)a transfer scheme, or

(b)an instrument or agreement which is certified to the Commissioners of Inland Revenue by a Minister of the Crown as made in pursuance of a transfer scheme.

(2)No instrument or agreement which is certified as mentioned in subsection (1)(b) shall be taken to be duly stamped unless—

(a)it is stamped with the duty to which it would, but for that subsection, be liable, or

(b)it has, in accordance with section 12 of the M2Stamp Act 1891, been stamped with a particular stamp denoting that it is not chargeable with any duty or that it is duly stamped.

(3)Section 12 of the M3Finance Act 1895 shall not operate to require—

(a)the delivery to the Inland Revenue of a copy of this Act, or

(b)the payment of stamp duty under that section on any copy of this Act,

and shall not apply in relation to any instrument on which, by virtue of subsection (1), stamp duty is not chargeable.

(4)In subsection (1), “transfer scheme” means—

(a)an order under section 25 which includes provision for the transfer of property, rights or liabilities, and

(b)a scheme under [F3section 34 or 35 or] paragraph 1 of Schedule 3 for the transfer of property, rights or liabilities.

Textual Amendments

Commencement Information

I2S. 39 wholly in force at 3.7.2000; s. 39 not in force at Royal Assent see s. 43; s. 39 in force for certain purposes at 25.11.1998 by S.I. 1998/2952, art. 2(2); s. 39 in force at 3.7.2000 in so far as not already in force by S.I. 2000/1173, art. 2(2)(c)

Marginal Citations

[F439A.Stamp duty land taxU.K.

(1)For the purposes of stamp duty land tax, a land transaction effected by or in pursuance of a transfer scheme is exempt from charge.

(2)Relief under this section must be claimed in a land transaction return or an amendment of such a return.

(3)In this paragraph—

40 Directions: supplementary.E+W

(1)Any power to give a direction under this Act shall be exercisable only after consultation with the body concerned.

(2)Any direction under this Act shall be in writing.

(3)It is the duty of a body to which a direction is given under this Act to comply with the direction.

(4)Any power to give a direction under this Act includes power to vary or revoke the direction.

Commencement Information

I3S. 40 wholly in force at 3.7.2000; s. 40 not in force at Royal Assent see s. 43; s. 40 in force for certain purposes at 25.11.1998 by S.I. 1998/2952, art. 2(2); s. 40 in force at 3.7.2000 in so far as not already in force by S.I. 2000/1173, art. 2(2)(c)

41 General interpretation.E+W

In this Act—

Textual Amendments

Commencement Information

I4S. 41 wholly in force at 3.7.2000; s. 41 not in force at Royal Assent see s. 43; s. 41 in force for certain purposes at 25.11.1998 by S.I. 1998/2952, art. 2(2); s. 41 in force at 3.7.2000 in so far as not already in force by S.I. 2000/1173, art. 2(2)(c)

Marginal Citations

42 Expenses.E+W

There shall be paid out of money provided by Parliament any administrative expenses of a Minister of the Crown attributable to this Act.

Commencement Information

I5S. 42 wholly in force at 3.7.2000; s. 42 not in force at Royal Assent see s. 43; s. 42 in force for certain purposes at 25.11.1998 by S.I. 1998/2952, art. 2(2); s. 42 in force at 3.7.2000 in so far as not already in force by S.I. 2000/1173, art. 2(2)(c)

43 Commencement.E+W

The preceding provisions of this Act shall come into force on such day as the Secretary of State may by order made by statutory instrument appoint; and different days may be so appointed for different purposes.

Subordinate Legislation Made

P1S. 43 power partly exercised (24.11.1998): 25.11.1998 appointed for specified provisions for specified purposes by S.I. 1998/2952, art. 2

S. 43 power partly exercised: different dates appointed for specified provisions by S.I. 2000/1173, art. 2

44 Extent.U.K.

(1)Subject to subsection (2), this Act extends to England and Wales only.

(2)The extent of any amendment by this Act is the same as that of the enactment amended.

45 Short title.E+W

This Act may be cited as the Regional Development Agencies Act 1998.