CG45900 | Groups: appropriations to and from trading stock: outline

TCGA92/S173

TCGA92/S173 applies to groups of companies and details the general rules concerning appropriations to and from trading stock in TCGA92/S161.

The rules for groups cover two situations involving the transfer of an asset from one group member to another. Firstly, there is the case where the asset is trading stock in relation to the transferee but not the transferor, see CG45905. Secondly there is the converse situation where the asset is trading stock in relation to the transferor but not the transferee, see CG45910.

Insurance Companies – FA12/S118

Where an insurance company writing long-term business is a member of a group, and assets are transferred between that company’s long-term business fund and a fellow group member, the special group rules for appropriations to and from trading stock described in this part of the manual do not apply to that disposal, see LAM13040.