Section 820 — Corporation Tax Act 2009: Transfer of assets on European cross-border transfer of business

Transfer of assets on European cross-border transfer of business 820 1 If the transfer of business includes intangible fixed assets that—

a are chargeable intangible assets in relation to the transferor immediately before the transfer, and b are chargeable intangible assets in relation to the transferee immediately after the transfer, the transfer of those assets is tax-neutral for the purposes of this Part.

2 This section applies only if the transfer of the business or part meets the genuine commercial transaction requirement (see section 831).

3 This section does not apply if the transferor is a transparent entity.

4 In this section— “ the transfer of business ” means the transfer of business mentioned in section 819(2)(a) or (3)(a), and “ transparent entity ” means a company which is resident in a member State ... and does not have an ordinary share capital.

5 For the purposes of subsection (4) an entity is resident in a relevant state if—

a it is within a charge to tax under the law of the relevant state as being resident for that purpose, and b it is not regarded, for the purposes of any double taxation relief arrangements to which the relevant state is a party, as resident in a territory not within a relevant state .