Corporation Tax Act 2010 section 69

Eligibility conditions

Section 69 sets out the conditions that an investor company must satisfy in order to claim share loss relief on the disposal of shares in a qualifying trading company.

• The investor must be an investment company on the date it disposes of the shares.
• The investor must have been an investment company continuously for at least six years ending on the disposal date, or for a shorter continuous period provided it was not previously a trading company or an excluded company.
• The investor must not have been associated with, or a member of the same group as, the qualifying trading company at any time from subscription to disposal.
• Two companies are treated as associated if one controls the other, or both are controlled by the same person or persons, applying the definitions of control in sections 450 and 451.