|
|
Transactions between associated persons and company succeeding to trade of another company.
|
30.—(1) This section shall apply to a company claiming relief under Part III of the Act by virtue of the foregoing sections of this Part of this Act.
|
|
| |
(2) Where, after the passing of this Act, a company (hereafter in this subsection referred to as the buyer) buys from another person (hereafter in this subsection referred to as the seller) and—
|
|
| |
(a) the seller has control over the buyer or, the seller being a body corporate or partnership, the buyer has control over the seller or some other person has control over both the seller and the buyer, and
|
|
| |
(b) the price in the transaction is less than that which might have been expected to obtain if the parties to the transaction had been independent parties dealing at arm's length,
|
|
| |
then, the profits of the buyer which are attributable to sales shall, for the purposes of Part III of the Act, be computed as if the price in the transaction had been that which would have obtained if the transaction had been a transaction between independent persons dealing as aforesaid.
|
|
| |
(3) In subsection (2) of this section “control”, in relation to a body corporate, means the power of a person to secure, by means of the holding of shares or the possession of voting power in or in relation to that or any other body corporate, or by virtue of any powers conferred by the articles of association or other document regulating that or any other body corporate, that the affairs of the first-mentioned body corporate are conducted in accordance with the wishes of that person and, in relation to a partnership, means the right to a share of more than one-half of the assets, or of more than one-half of the income, of the partnership.
|
|
| |
(4) Where a company (hereafter in this subsection referred to as the succeeding company) succeeds to a trade or a part of a trade which, on or after the 6th day of April, 1960, was carried on by another company (hereafter in this subsection referred to as the original company) and the original company has or could have made a claim to relief under Part III of the Act, then, relief by virtue of the foregoing sections of this Part of this Act, in so far as such relief relates to the trade or the part of the trade in question, shall be granted to the succeeding company only as respects the remaining years of claim and the remaining accounting periods for which relief under Part III of the Act might have been claimed by the original company if it had continued to carry on the trade or the part of the trade in question.
|
|
| |
(5) The Revenue Commissioners may by notice in writing require the company to furnish them with such information or particulars as may be necessary for the purposes of this section, and subsections (1) and (3) of section 12 and subsections (1) and (3) of section 13 of the Act shall have effect as if the matters of which proof is required by those subsections included the information or particulars specified in a notice under this subsection.
|
