Transactions in Securities - What's the Deal?

Introduction

Many common transactions have the potential to fall foul of the transactions in securities legislation, which has been with us since FA 1960. There has been a renewed focus on counteraction since 2010, as well as changes to the legislation in 2001 and 2016. This practical 3 hour seminar will take you through the current form of the legislation and explain what transactions are being challenged by HMRC and why.

What You Will Learn

• Introduction
• Tax avoidance background
• The mischief: why was the legislation introduced
• Application to income tax
• How the income tax rules work
• Conditions for the rules to apply
• Types of transaction affected
• Quantum of tax advantage
• The escape clauses
• Tax avoidance motive
• Change of ownership test
• Problem areas
• Management buy-outs
• Reductions of capital
• Share exchanges followed by reductions of capital
• Use of EBTs as a ‘market’ for shares
• Counteraction of tax advantages
• Interaction with anti-phoenix TAAR