Part 6Venture capital trusts

Chapter 4Qualifying holdings

The requirements

292Ceasing to meet requirements because of administration or receivership

1

A company is not regarded as ceasing to meet the requirement of section 290 or 291 merely because of anything done in consequence of its being in administration or receivership.

2

Subsection (1) applies only if—

a

the entry into administration or receivership, and

b

everything done as a consequence of the company being in administration or receivership,

is for genuine commercial reasons, and is not part of a scheme or arrangement the main purpose or one of the main purposes of which is the avoidance of tax.