Income Tax Act 2007 section 82

Excluded activities: wholesale and retail distribution

Section 82 modifies the rules in section 304 for determining whether shares or securities issued before 6 April 2007 count as part of a company's qualifying holdings, specifically in relation to excluded wholesale and retail distribution activities.

• This transitional provision applies only to shares or securities issued before 6 April 2007.
• The standard qualifying holdings test under section 304 is adjusted so that references to goods being "held" are clarified as being held "by the company", and "the trader" becomes "a vendor".
• The wholesale or retail distribution exclusion is broadened for pre-April 2007 shares, so that it covers activities "carried on by any person" rather than being limited to a specific trade description.
• All references to "the trader" in the relevant subsection are replaced with "that person", reflecting the wider scope of the modified rule.