Section LP 4 — Income Tax Act 2007: Continuity rules for carrying credits forward

LP 4 Continuity rules for carrying credits forward When this section applies (1) This section applies for the purposes of section LA 5(3) (Treatment of remaining credits) when a company has an amount of a tax credit that must be carried forward under section LP 3(4) . Minimum interests required (2) The amount is available for use under section LP 3(4) if a group of persons exists that has, for the continuity period,— (a) minimum voting interests in the company that add up to 49% or more; and (b) when a market value circumstance exists for the company in the continuity period, minimum market value interests in the company that add up to 49% or more. Some definitions (3) In this section,— continuity period means the period that starts on the first day of the income year that corresponds to the tax year in which the tax credit first arises and ends on the last day of the income year that corresponds to the tax year to which the amount of the credit has been carried forward minimum market value interest means the lowest market value interest that a person has in the company for the continuity period minimum voting interest means the lowest voting interest that a person has in the company for the continuity period. Defined in this Act: amount , company , continuity period , corresponding income year , group of persons , income year , market value circumstance , market value interest , minimum market value interest , minimum voting interest , tax credit , tax year , voting interest , Compare: 2004 No 35 s LE 2(5) Section LP 4(2): substituted (with effect on 1 April 2008), on 6 October 2009, by section 345(1) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section LP 4 list of defined terms market value circumstance : inserted (with effect on 1 April 2008), on 6 October 2009, by section 345(2) of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34).