Part 9Leasing plant or machinery

Chapter 3Sales of lessors: leasing business carried on by a company alone

“Qualifying change of ownership”

392“Qualifying change of ownership”

(1)

This section defines when there is a qualifying change of ownership in relation to a company (“A”) for the purposes of the sales of lessors Chapters.

(2)

There is a qualifying change of ownership in relation to A on any day if there is a relevant change in the relationship on that day between—

(a)

A, and

(b)

a principal company of A.

(3)

For an exception to subsection (2) see section 395 (no qualifying change of ownership in certain intra-group reorganisations).

(4)

There is a relevant change in the relationship between A and a principal company of A on any day in any of the circumstances in section 393 or 394 (qualifying 75% subsidiaries and consortium relationships).

(5)

For an exception to subsection (4) see section 396 (no qualifying change of ownership where principal company’s interest in consortium company unchanged).