§ Amendments made:
§ No. 137, in page 67, leave out lines 26 to 34 and insert—
§ (3) In arriving at the relevant income for any accounting period of a company which is a trading company or a member of a trading group, regard shall be had not only to the current requirements of the company's business and to such requirements necessary or advisable for the maintenance or development of that business as fall within sub-paragraph (2)(a) above, but also to any other requirements necessary or advisable for the acquisition of a trade or of a controlling interest in a trading company or in a company which is a member of a trading group by virtue of paragraph 11(2)(a) below; but for this purpose paragraph 12A below shall apply.
§ (4) For the purposes of sub-paragraph (3) above, the acquisition of a controlling interest in a company means the acquisition, whether on a single occasion or otherwise, of such ordinary share capital of that company as enables the acquiring company to exercise the greater part of the voting power in that company
§ (5) For the purposes of sub-paragraph (3) above the requirements of a company's business which are necessary or advisable for such an acquisition as is mentioned in that subparagraph include such requirements as are necesary or advisable for— 1751
- (a) the redemption or repayment of any share or loan capital or debt (including any premium thereon) issued or incurred in or towards payment for that acquisition, or issued or incurred for the purpose of raising money to be applied in or towards payment therefor, or
- (b) meeting any obligations of the company in respect of that acquisition,
No. 138, in line 35, leave out from beginning to 'above' and insert—
'2. After paragraph 12 of Schedule 16 to the Finance Act 1972 there shall be inserted the following paragraph—
12A.—(1) Paragraph 8(3)".'.
§ No. 139, in line 48, leave out 'subparagraph (3)' and insert 'paragraph 8(3)'.
No. 140, in line 49, at end insert—
'(2) Paragraph 8(3) above shall not apply to—
§ (3) Paragraph 8(3) above shall not apply to—
- (a) the acquisition of shares in a company which immediately before the acquisition or at any time within one year previously was an associated company of the acquiring company; or
- (b) the intended acquisition of shares in a company which, at the end of the accounting period for which the acquiring company's relevant income is to be ascertained, is an associated company of the acquiring company.'.
§ No. 141, in page 68, line 4, leave out sub-paragraph (4)' and insert 'subparagraphs (1), (2) and (3)'.
§ No. 142, in line 5, leave out 'that subparagraph' and insert 'each of those subparagraphs'.
§ No. 143, in line 8, leave out 'subparagraph (4)' and insert 'sub-paragraphs (1), (2) and (3)'.1752
§ No. 144, in line 19, leave out 'subparagraph' and insert 'sub-paragraphs (2) and'.
No. 145, in line 21, leave out subparagraph '(4)(b)' and insert
paragraph (b) of sub-paragraphs (1), (2) and (3)'.
§ No. 146, in line 40, at end insert 'any'.
§ No. 147, in line 41, after 'issue', insert 'who is an infant'.
§ No. 148, in line 48, leave out 'sub-paragraphs (4) and (6) above' and insert 'this paragraph'.
§ No. 149, in line 49, leave out 'which is' and insert', or shares'.
No. 150, in page 69, line 4, leave out from 'asset' to 'conveyed' in line 5 and insert
'interest or shares is or are'.
No. 151, in line 6, leave out from beginning to 'above' in line 10 and insert—
'(8) For the purposes of sub-paragraph (3) of paragraph 8'.
No. 152, in line 14, leave out 'the acquisition of a trade' and insert
'such an acquisition as is mentioned in that sub-paragraph'.
No. 153, in line 16, leave out 'above' and insert
'of paragraph 12 above; and sub-paragraphs (2) and (3) of that paragraph shall apply for the purposes of this sub-paragraph as they apply for the purposes of that paragraph'.-[Mr. Denzil Davies.]