(1)Subsection (6) applies if conditions A, B and C are met.
(2)Condition A is that a group or company ceases to be a UK REIT as a result of a notice under section 571.
(3)Condition B is that the group or company had been a UK REIT for a continuous period immediately before cessation of less than 10 years.
(4)Condition C is that, during the post-cessation period, a relevant company, that is to say—
(a)in the case of a group, a member of the group, or
(b)otherwise, the company,
disposes of an asset that was involved in property rental business of the relevant company.
(5)“The post-cessation period” means the period of two years beginning with the date of cessation.
(6)The relevant company's liability to corporation tax is to be determined without regard to—
(a)any deemed disposal under section 536(2) that resulted in a gain,
(b)any deemed disposal under section 555(2), or
(c)any deemed disposal under section 579(4).
(7)Subsection (6) also applies if—
(a)a company ceases to be a member of a group UK REIT,
(b)either—
(i)the group has been a group UK REIT for a continuous period of less than 10 years, or
(ii)the company has been a member of the group for a continuous period of less than 10 years, and
(c)during the post-cessation period the company disposes of an asset that was involved in its property rental business.
(8)This section has effect in relation to a non-UK member of a group as if references to property rental business were references to UK property rental business.