That the following provisions shall have effect for the period beginning 28th March 2000 and ending 31 days after the earliest of the dates mentioned in section 50(2) of the Finance Act 1973—
§ (1) This Resolution applies where a lease is granted to a company ("A") and—
- (a) the person granting the lease ("B") is connected with A; or
- (b) some or all of the consideration for the grant of the lease consists of the issue or transfer of shares in a company with which B is connected.
§ (3) If, apart from this paragraph, the amount or value of the consideration for the grant would be less than the value determined under paragraph (4), the consideration shall be taken to be the value determined under paragraph (4).
- (a) the market value, immediately before the instrument granting the lease is executed, of the lease granted; but
- (b) reduced by the value of so much of any actual consideration as does not consist of property.
§ (5) This Resolution applies only if, in consequence of its application, the lease is chargeable with a greater amount of stamp duty than it would be apart from this Resolution.
§ (6) For the purposes of this Resolution, the market value of property at any time is the price which that property might reasonably be expected to fetch on a sale at that time in the open market.
(7) In this Resolution—
company" means any body corporate;
shares" includes stock and the reference to shares in a company includes a reference to securities issued by a company.
§ (8) For the purposes of this Resolution, the question whether any person is connected with another shall be determined in accordance with the provisions of section 839 of the Income and Corporation Taxes Act 1988.
§ (10) This Resolution applies to instruments executed on or after 28th March 2000.
§ (11) But this Resolution does not apply to an instrument giving effect to a contract made on or before 21st March 2000, unless—
- (a) the instrument is made in consequence of the exercise after that date of any option, right of pre-emption or similar right; or
- (b) the instrument transfers the property in question to, or vests it in, a person other than the purchaser under the contract, because of an assignment (or, in Scotland, assignation) or further contract made after that date.