Income Tax Act 2007 Schedule 2 paragraph 53

Excluded activities: wholesale and retail distribution

Paragraph 53 modifies how the wholesale and retail distribution rules apply for the purposes of share loss relief where the shares were issued before 6 April 2007.

• This paragraph applies only to shares issued before 6 April 2007
• It modifies the wording of the excluded activities test for wholesale and retail distribution under section 193(5)(b), as applied through the share loss relief trading requirement in section 137(7)
• The phrase "by the company" is inserted after the word "held", clarifying that the goods must be held by the company itself
• The term "the trader" is replaced with "a vendor", broadening the reference from a specific trader to any vendor