Section GB 3 — Income Tax Act 2007: Arrangements for carrying forward loss balances: companies

GB 3 Arrangements for carrying forward loss balances: companies When this section applies (1) This section applies when— (a) a share in a company (the loss company ) or another company has been subject to an arrangement, including an arrangement directly or indirectly altering rights attached to the shares; and (b) the arrangement allows the loss company to meet the requirements of section IA 5 (Restrictions on companies’ loss balances carried forward); and (c) a purpose of the arrangement is to defeat the intent and application of sections IA 5 and IP 3 (Continuity breach: tax loss components of companies carried forward). Company treated as not meeting requirements (2) The loss company is treated as not meeting the requirements of section IA 5 in relation to the share. Defined in this Act: arrangement , company , loss balance , share , Compare: 2004 No 35 s GC 2