Income Tax Act 2007 section 739

Exemption: all relevant transactions pre-5 December 2005 transactions

Section 739 provides an exemption from income tax under the transfer of assets abroad rules where all the relevant transactions took place before 5 December 2005, provided the individual can satisfy HMRC that a purpose test is met.

• The exemption applies only where every relevant transaction occurred before 5 December 2005
• The individual must satisfy an officer of Revenue and Customs that either Condition A or Condition B is met
• Condition A requires that avoiding liability to taxation was not a purpose, or one of the purposes, for which the transactions were carried out
• Condition B requires that the transfer and any associated operations were genuine commercial transactions not designed to avoid taxation