Part 2 Plant and machinery allowances
F1Chapter 16AAvoidance involving allowance buying
Qualifying change
212HOwnership proportion
(1)
For the purposes of section 212C(3) CPC's “ownership proportion” is the lowest of—
(a)
the percentage of the ordinary share capital of C that is beneficially owned by CPC,
(b)
the percentage to which CPC is beneficially entitled of any profits available for distribution to equity holders of C, and
(c)
the percentage to which CPC would be beneficially entitled of any assets of C available for distribution to its equity holders on a winding-up.
(2)
Chapter 6 of Part 5 of CTA 2010 applies for the purposes of subsection (1) as that Chapter applies for the purposes of section 143(3)(b) and (c) (condition 1: surrendering company owned by consortium) and section 144(3)(b) and (c) (condition 1: claimant company owned by consortium) of that Act.
(3)
But in a case where the subsidiary company does not have ordinary share capital, Chapter 6 of Part 5 of that Act applies for those purposes as if the members of that company were equity holders of that company for the purposes of that Chapter.