Section 269DD | Meaning of “relevant transferred-out gain” and “non-banking transferred-in gain”

(1)This section has effect for the purposes of section 269DA(2).

(2)A “relevant transferred-out gain” means a chargeable gain, or any part of a chargeable gain, that—

(a)is transferred from the company, by an election under section 171A of TCGA 1992 (reallocation within group), to a non-banking company, and

(b)would have accrued to the company in the chargeable accounting period but for that election.

(3)A “non-banking transferred-in gain” means a chargeable gain, or any part of a chargeable gain, that—

(a)is transferred to the company, by an election under section 171A of TCGA 1992, from a non-banking company, and

(b)accrues to the company in the chargeable accounting period as a result of the election.

(4)In this section “non-banking company” means a company that is not a banking company at the time that the chargeable gain, or such part of it as the election transfers, is treated as accruing by virtue of the election (see, in particular, section 171B(3) of TCGA 1992).