Corporate Gains

Broadly speaking, a gain on the disposal by a company subject to UK Corporation Tax of a "substantial shareholding" (broadly, at least a 10% interest) in a trading company or a holding company of a trading group is exempt from Corporation Tax. The disposing company must (i) also be a trading company or a member of a trading group, (ii) have held the shares in the target for at least one year, and (iii) continue to be a trading company (or a member of a trading group) immediately after the disposal.

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