Income Tax Act 2007 Schedule 2 paragraph 66

Conditions relating to qualifying holdings and eligible shares: supplementary

Paragraph 66 of Schedule 2 provides a transitional rule that disapplies part of Section 280 for shares issued before a specified date.

• Section 280(3) sets out certain conditions relating to qualifying holdings and eligible shares for venture capital trusts
• Paragraph 66 creates a carve-out so that Section 280(3) does not apply to shares issued before 17 April 2002
• This means older shares issued before that date are not subject to the requirements imposed by Section 280(3)
• The provision acts as a grandfathering rule, protecting pre-existing share issues from later legislative conditions