Income Tax Act 2007 Schedule 2 paragraph 57

Meaning of a company being "in administration"

Schedule 2 paragraph 57 provides transitional rules for determining when a company is "in administration" for the purposes of share loss relief, taking account of changes in insolvency legislation over time.

• For Northern Ireland administration orders petitioned before 6 April 2007, and equivalent overseas orders instituted before that date, a broader definition of "in administration" applies that covers both the modern Schedule B1 procedure and the older Part 3 Northern Ireland procedure
• For administration orders under the old Part 2 of the Insolvency Act 1986, where the petition was presented before 15 September 2003, the definition of "in administration" covers the older-style orders under both UK and Northern Ireland insolvency law, as well as equivalent overseas orders
• The administration provisions relevant to share loss relief do not apply at all to shares issued before 21 March 2000
• Shares issued between 6 April 1998 and 20 March 2000 that already had EIS relief or TCGA 1992 Schedule 5B relief immediately before 21 March 2000 are treated as if they were issued on or after 21 March 2000, bringing them within the scope of the administration rules