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Legislation
Inheritance Tax Act 1984

CHAPTER I GENERAL

  • Section 18 Transfers between spouses or civil partners.
  • Section 19 Annual exemption.
  • Section 20 Small gifts.
  • Section 21 Normal expenditure out of income.
  • Section 22 Gifts in consideration of marriage or civil partnership.
  • Section 23 Gifts to charities or registered clubs.
  • Section 24 Gifts to political parties.
  • Section 24A Gifts to housing associations.
  • Section 25 Gifts for national purposes, etc.
  • Section 26 Gifts for public benefit.
  • Section 26A Potentially exempt transfer of property subsequently held for national purposes etc.
  • Section 27 Maintenance funds for historic buildings, etc.
  • Section 28 Employee trusts.
  • Section 28A Employee-ownership trusts
  • Section 29 Loans—modifications of exemptions.
  • Section 29A Abatement of exemption where claim settled out of beneficiary’s own resources.
  1. Chapter I · GENERAL
  2. Employee-ownership trusts

Section 28A | Employee-ownership trusts F1

From legislation.gov.uk

(1)A transfer of value made by an individual who is beneficially entitled to shares in a company (“C”) is an exempt transfer to the extent that the value transferred is attributable to shares in or securities of C which become comprised in a settlement if—F1

(a)C meets the trading requirement,F1

(b)the settlement meets the all-employee benefit requirement, andF1

(c)the settlement does not meet the controlling interest requirement immediately before the beginning of the tax year in which the transfer of value is made but does meet it at the end of that year.F1

(2)Sections 236I, 236J, 236K, 236M and 236T (but not 236L) of the 1992 Act apply to determine whether—F1

(a)C meets the trading requirement;F1

(b)the settlement meets the all-employee benefit requirement;F1

(c)the settlement meets the controlling interest requirement;F1

with references in those sections to “C” being read accordingly.

(3)RepealedF2F1

Notes

  1. F1

    S. 28A inserted (with effect in accordance with Sch. 37 para. 11(2) of the amending Act) by Finance Act 2014 (c. 26), Sch. 37 para. 11(1)

  2. F2

    S. 28A(3) omitted (6.4.2025) by virtue of Finance Act 2025 (c. 8), Sch. 13 paras. 7, 45(1)

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