SCIT TRANSACTIONS IN SECURITIES – share buy-backs – trustees of exempt approved scheme purchased shares in Powergen which subsequently bought back the shares – trustees claimed tax credit – whether the scheme received an abnormal amount -no – whether the scheme obtained a tax advantage – yes – whether the sales back to Powergen were transactions carried out for bona fide commercial reasons or in the ordinary course of making or managing investments – yes – whether a main object of the sales was to enable tax advantages to be obtained – yes – appeal allowed – Taxes Act 1988 ss703, 704 and 709
Judges:
Dr Nuala Brice
Citations:
[2001] UKSC SPC00280
Links:
Statutes:
Income and Corporation Taxes Act 1988 703 704 709
Citing:
Cited – Lomax v Peter Dixon and Son Ltd CA 1942
A substantial loan was made to be repaid on demand. An agreement was then made where the debtor issued to the creditor 680 loan notes of andpound;500 each, amounting in total to andpound;340,000 (a discount of 6%). The notes were to bear interest at . .
Lists of cited by and citing cases may be incomplete.
Income Tax
Updated: 10 June 2022; Ref: scu.195375