Finance Act, 1996

Amendment of section 16 (market value of certain shares in private trading companies) of Principal Act.

121.—As respects gifts and inheritances taken on or after the 28th day of March, 1996, section 16 of the Principal Act is hereby amended in subsection (2) by the substitution of the following definition for the definition of “private company”:

“‘private company’ means a body corporate (wherever incorporated) which—

(a) is under the control of not more than five persons, and

(b) is not a company which would fall within section 95 of the Corporation Tax Act, 1976 , if the words ‘private company’ were substituted for the words ‘close company’ in subsection (1) of that section, and if the words ‘if beneficially held by a company which is not a private company’ were substituted for the words of paragraph (a) of subsection (4) of that section.”.