Section 673 — Corporation Tax Act 2010: Introduction to Chapter

Introduction to Chapter 673 1 This Chapter applies if—

a there is a change in the ownership of a company (“ the company ”),

and b condition A or B is met.

2 Condition A is that within any period beginning no more than 3 years before the change in ownership occurs which is a period of 5 years in which that change occurs there is a major change in the nature or conduct of a trade carried on by the company.

3 Condition B is that the change in ownership occurs at any time after the scale of the activities in a trade carried on by the company has become small or negligible and before any significant revival of the trade.

4 In this section “ major change in the nature or conduct of a trade ” includes—

a a major change in the type of property dealt in, or services or facilities provided in, the trade, or b a major change in customers, outlets or markets of the trade. This Chapter applies even if the change is the result of a gradual process which began before the period of 5 years mentioned in subsection (2).

5 In this Chapter— “ the change in ownership ” means the change in ownership mentioned in subsection (1), “ the company ” has the same meaning as in this section, and “ trade ” includes an office.