Section HA 37 — Income Tax Act 2007: Period of grace for new shareholder

HA 37 Period of grace for new shareholder When this section applies (1) This section applies when a company has been a qualifying company but fails to meet the requirement of section HA 5 when— (a) a person other than an existing shareholder acquires shares in the company; or (b) an existing shareholder acquires legal capacity. Period for making election (2) The company’s status as a qualifying company does not end if, within 63 days of the date on which either the shares were acquired or the shareholder acquired legal capacity, an election relating to the whole of the relevant shareholding is made. Extension of time (3) The Commissioner may extend the 63-day period in subsection (2) on the application of the company, the new shareholder, the existing shareholder, or a person who is entitled to make an election as shareholder under section HA 5 . Defined in this Act: Commissioner , company , qualifying company , share , shareholder , Compare: 2004 No 35 s HG 6(3)