§ Mr. NottI beg to move, Amendment No. 159, in page 89, line 28 [Clause 110], leave out from 'of' to 'had' in line 30 and insert:
'(a) a share other than a qualifying share; or(b) loan stock,previously held by him, being a conversion pursuant to rights in that behalf attached to the share or stock previously held, subsections (6) and (7) above shall have effect as if that share or stock'. This Amendment provides that the new 15 per cent. credit allowed for capital gains tax on the disposal of qualifying shares in approved trusts shall apply 1804 without restriction to qualifying shares received on conversion of non-qualifying shares as it does to qualifying shares received on conversion of loan stock.I hope the House understand that sufficiently well.
§ Amendment agreed to.
§ Mr. NottI beg to move Amendment No. 160, in page 89, line 32, at end insert:
'(9) Where the gain accruing on a disposal to which this section applies falls to be computed in accordance with paragraph 27(2)(b) of Schedule 6 to the Finance Act 1965 (unquoted securities held before 6th April 1965 which are subsequently converted or exchanged)—This Amendment ensures a consistency between the time-apportionment method of restricting the 15 per cent. credit allowed for capital gains tax on the disposal of qualifying units or shares in approved trusts, and the existing time-apportionment method of excluding from capital gains tax that part of a gain which accrued before 6th April, 1965.
- (a) the period of ownership of the share disposed of shall not be treated under sub section (7)(a) above as having begun before the time mentioned in the said paragraph 27(2)(b); and
- (b) for the purposes of subsection (3)(b) above the gain shall be taken to be that mentioned in sub-paragraph (ii) of the said paragraph 27(2)(b) reduced, where applicable, in accordance with subsections (6) and (7) above'.
§ Amendment agreed to.