Taxation of Chargeable Gains Act 1992 section 140L

Interpretation

Section 140L provides definitions for key terms used throughout the cross-border merger and business transfer provisions in sections 140A to 140K of the Taxation of Chargeable Gains Act 1992.

• The "Mergers Directive" refers to Council Directive 2009/133/EC, and a "company" means an entity listed in Part A of Annex I to that directive.
• A "relevant state" means the United Kingdom or an EU member state.
• A "transparent entity" is one that is resident in a member state and listed in the Mergers Directive annex, but lacks ordinary share capital and would not qualify as a company under UK law.
• A company is treated as resident in a relevant state only if it is subject to tax there as a resident and is not treated under any double taxation treaty as resident outside a relevant state.