Disposals within TCGA92/S116(10)

Exchanges before 6 April 2010

Where there is an exchange of shares for an asset that is a qualifying corporate bond (QCB) TCGA92/S116 (10) deems there to be no disposal (see CG53822+).

Reg 9, SI2002/1970 applies instead so that the amount that would have been brought into charge under Reg 4 (CFM62300) is added to the market value of the bond for the purposes of the calculation in S116(10). If the amount that would have been brought into charge

is an exchange gain, it is added to the market value,

is an exchange loss, it is deducted from the market value, and

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