Section FO 11 — Income Tax Act 2007: When property passes on amalgamation other than resident’s restricted amalgamation

FO 11 When property passes on amalgamation other than resident’s restricted amalgamation Disposal and acquisition (1) If property belonging to an amalgamating company becomes the property of the amalgamated company on an amalgamation that is not a resident’s restricted amalgamation,— (a) the amalgamating company is treated as having disposed of the property for an amount equal to the market value of the property at the time of the amalgamation; and (b) the amalgamated company is treated as having acquired the property at that market value. Relationship with section EE 41 (2) Section EE 41 (Transfer of depreciable property on certain amalgamations on or after 14 May 2002) overrides this section for the purposes of determining the cost of an item to an amalgamated company, unless the context requires otherwise. Defined in this Act: amalgamated company , amalgamating company , amalgamation , amount , market value , resident’s restricted amalgamation , Compare: 2004 No 35 s FE 5