Section 357OO — Corporation Tax Act 2010: Assets acquired in connection with disposals of pre-commencement assets

Assets acquired in connection with disposals of pre-commencement assets 357OO 1 This section applies if—

a a person disposes of an asset which—

i in the case of an intangible fixed asset, is a pre-commencement asset, or ii in the case of any other asset, was created before the commencement day, and b a company acquires an intangible fixed asset directly or indirectly in consequence of the disposal or otherwise in connection with it.

2 The acquired asset is treated for the purposes of this Chapter as a pre-commencement asset in the company's hands.

3 For the purposes of this section a person “disposes of” an asset if—

a for the purposes of TCGA 1992, the person makes a part disposal of the asset or any other disposal of it, b in the case of an intangible fixed asset, there is for the purposes of Part 8 of CTA 2009 a realisation of the asset, or c the person grants a licence in respect of the asset.

4 For the purposes of this section it does not matter whether—

a the asset that the person disposes of is the same asset as the acquired asset, b the acquired asset is acquired at the time of the disposal, or c the acquired asset is acquired by merging assets or otherwise.