Finance Act 2012

Mergers where a company is dissolved without going into liquidation.

51.— (1) The Principal Act is amended by inserting the following after section 633C—

“633D.— The transfer of all the assets and liabilities of a company which is a wholly owned subsidiary of another company (in this section referred to as the ‘parent company’) to the parent company, on that subsidiary company being dissolved without going into liquidation, shall not be treated as involving a disposal by the parent company of the share capital which it held in the subsidiary company immediately before the dissolution.”.

(2) Subsection (1) shall have effect in respect of assets and liabilities transferred on or after 1 January 2012.