Section 169VV | “Trading company” etc ^F1

(1)In this Chapter “trading company” and “the holding company of a trading group” have the same meaning as in section 165 (see section 165A).^F1

(2)For the purposes of this Chapter a company is not to be regarded as ceasing to be a trading company, or the holding company of a trading group, merely because of anything done in consequence of—^F1

(a)the company, or any of its subsidiaries, being in administration or receivership, or^F1

(b)a resolution having been passed, or an order made, for the winding up of the company or any of its subsidiaries.^F1

(3)But subsection (2) applies only if—^F1

(a)the entry into administration or receivership, or the resolution or order for winding up, and^F1

(b)everything done as a result of the company concerned being in administration or receivership, or as a result of that resolution or order,^F1

is for genuine commercial reasons and is not part of a scheme or arrangement the main purpose or one of the main purposes of which is the avoidance of tax.