641Small holdings: trustees of a disabled person's trustsU.K.
(1)In relation to a transfer with accrued interest or transfer without accrued interest of securities held on a disabled person's trusts, the trustees of the settlement are an excluded transferor or excluded transferee unless the nominal value of securities held by the trustees of the settlement as such exceeds £5,000 on any day—
(a)in the tax year in which the interest period ends, or
(b)in the previous tax year.
(2)In relation to a transfer with unrealised interest of securities held on a disabled person's trusts, the trustees of the settlement are an excluded transferor or excluded transferee unless the nominal value of securities held by the trustees of the settlement as such exceeds £5,000 on any day—
(a)in the tax year in which the settlement day falls, or
(b)in the previous tax year.
(3)In relation to a transfer of variable rate securities held on a disabled person's trusts, the trustees of the settlement are an excluded transferor unless the nominal value of securities held by the trustees of the settlement as such exceeds £5,000 on any day in the relevant tax year or the previous tax year.
(4)In this section—
“disabled person's trusts” means trusts falling within [F1paragraph 3 of Schedule 1C] to TCGA 1992 (application of annual exempt amount), and
“the relevant tax year” has the meaning given by section 639(4).
Textual Amendments
F1Words in s. 641(4) substituted (with effect in accordance with Sch. 1 paras. 120, 123 of the amending Act) by Finance Act 2019 (c. 1), Sch. 1 para. 100