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Legislation
Corporation Tax Act 2010

Crossheading Distributions in respect of non-commercial securities

  • Section 1005 Meaning of “non-commercial securities”
  • Section 1006 Distributions exceeding consideration received for issue of security
  • Section 1007 Securities issued at premium representing new consideration
  • Section 1008 Consideration for issue of security exceeding amount of principal
  1. Distributions in respect of non-commercial securities
  2. Consideration for issue of security exceeding amount of principal

Section 1008 | Consideration for issue of security exceeding amount of principal

From legislation.gov.uk

(1)This section applies if—

(a)a company issues a security, and

(b)the amount of new consideration received by the company for the issue of the security exceeds the amount of the principal secured by the security.

(2)The amount of the principal is treated for the purposes of paragraph E in section 1000(1) as increased to the amount of that new consideration.

(3)Section 1007 does not have effect in relation to the security.

(4)This section is subject to sections 1009 and 1012.

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