Income Tax (Trading and Other Income) Act 2005 section 453

Application of sections 454 to 456

Section 453 introduces the special rules that apply when a deeply discounted security, which has been continuously held since before 27 March 2003 and was listed on a recognised stock exchange before that date, is disposed of.

• Applies only to deeply discounted securities that meet both Condition A (continuously held since before 27 March 2003) and Condition B (listed on a recognised stock exchange before that date)
• Provides for loss relief on disposals of qualifying securities, even though loss relief was generally withdrawn for disposals on or after 27 March 2003
• Sets out how to calculate taxable profits or allowable losses on the disposal of these pre-27 March 2003 securities
• Acts as the gateway section directing to the detailed rules in sections 454 to 456 for computing relief and charges