Related Commentary  Related HMRC Manuals

251(1)  This section applies if–

(a)a person (“the transferor”) permanently ceases to carry on a trade,

(b)the transferor transfers to another person (“the transferee”) for value the right to receive sums arising from the carrying on of the trade, and

(c)the transferee does not subsequently carry on the trade.

251(2)  The transferor is treated as receiving a post-cessation receipt.

251(3)  The amount of the receipt is–

(a)the amount or value of the consideration for the transfer, if the transfer is at arm's length, or

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