Commentary

D6.614 Capital treatment—period of ownership

Corporate tax
Corporate tax | Commentary

D6.614 Capital treatment—period of ownership

Corporate tax | Commentary

D6.614 Capital treatment—period of ownership

The shares which are redeemed, repaid or repurchased by the company must have been owned by the vendor for five years1.

The period is reduced to three years if the:

  1.  

    (a)     vendor acquired the shares under the will or on the intestacy of the former shareholder; or

  2.  

    (b)     shares are sold by the personal representatives of the former shareholder2

In these cases, the vendor's period of ownership includes that of the previous owner and his personal representatives.

Spouses' or (from 5 December 2005) civil partners'3 joint period of ownership will also qualify if:

  1.  

    (a)     one acquires the shares

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial