Corporation Tax Act 2009 (c. 4)

Part 6 U.K. Relationships treated as loan relationships etc

Chapter 7 U.K. Shares with guaranteed returns etc

Consequences of section 523 applying or ceasing to apply U.K.

F1 534 Amounts to be brought into account where section 523 applies U.K.

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Textual Amendments

F1 Pt. 6 Ch. 7 omitted (retrospective and with effect in accordance with Sch. 24 paras. 12, 13-16 of the amending Act) by virtue of Finance Act 2009 (c. 10), Sch. 24 paras. 8(c)(i), 12

535 Shares ceasing to be shares to which section 523 applies U.K.

(1) This section applies if at any time section 523 (application of Part 5 to certain shares as rights under creditor relationship) ceases to apply in the case of a share held by the investing company.

(2) The company is treated for the purposes of Part 5—

(a) as having disposed of the share immediately before that time for consideration of an amount equal to its fair value at that time, and

(b) as having immediately reacquired it for consideration of the same amount.