Taxation of Chargeable Gains Act 1992 section 175

Schedule 7AB paragraph 7

Section 175, as supplemented by Schedule 7AB paragraph 7, deals with the application of anti-avoidance provisions to substantial shareholding exemptions, as amended by Finance Act 2011.

• Paragraph 7 of Schedule 7AB was amended by Finance Act 2011 to refine the anti-avoidance rules that apply alongside the substantial shareholding exemption.
• The amendment was introduced through Schedule 10, paragraph 5(c) of Finance Act 2011, targeting arrangements designed to exploit the substantial shareholding exemption.
• The provision ensures that the exemption from chargeable gains on disposals of substantial shareholdings cannot be used inappropriately through artificial or contrived arrangements.
• These changes form part of the broader framework ensuring that reliefs available for genuine commercial transactions involving substantial shareholdings are not abused.

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