Inter- pretation.
3 & 4 Geo. 6. c. 29.
8. 55(6) and
2 4 1 Eliz.
2. c. 44.
*. 31(1)(c) & (4).
Limitation on dispositions through a controlled company in favour of relatives.
14 Geo. $, C. 15. 3. 46(0.
Gills to relatives by controlled companies.
42
death occurring before the alteration of shure capital, as if those shares and the equivalent amount of the shares from which they were so derived were the same shares: and if a company has issued to holders of any shares other shares as fully paid bonus shares, that subsection shall apply both to the shares in respect of which the issue was made and to the shares so issued as if they were derived from the former by sub-division.
(1) In this section-
(a) references to the assets of a company shall be construed as references to the assets that it had at the death of the deceased:
(b) references to a subsidiary company shall be con-
strued in accordance with the interpretation attri buted to that expression in paragraph (2) of sub- section (5) of section 31; and
(c) the expression "relative" has the meaning attri-
buted to it in section 6A.
42. (1) If a company to which by virtue of section 31, this section applies, was concerned in a transaction in relation to which it is claimed that the provisions of paragraph (a) of or the proviso to subsection (1) of section 6A have effect, those provisions shall have effect in relation thereto if and only it, and to the extent only to which, the Commissioner is satisfied that those provisions would have had effect in the following circumstances, namely, if the assets of the company had been held by it on trust for the members thereof and any other person to whom it is under any liability incurred otherwise than for the purposes of the business of the company wholly and exclusively, in accordance with the rights attaching to the shares in and debeatures of the company and the terms on which any such liability was incurred, and if the company had acted in the capacity of a trustee only with power to carry on the business of the company and to employ the assets of the company therein.
(2) Any gifts made in favour of a relative of the deceased by a company of which the deceased at the time of the gift had control within the meaning of subsection (3) of section 41 shall be treated for the purposes of paragraph (c) of subsection (1) of section 6 as a gift made by the deceased, and the property taken under the gift shall be treated as included by virtue of that paragraph in the property passing on the death of the deceased, if and to
Gifts Lo relatives through controlled companies.
3 & 4 Geo. 5, c. 29,
* 44(4).
43
the extent to which the Commissioner is satisfied that it would fall to be so treated in the circumstances mentioned in subsection (1).
(3) If the deceased has made in favour of a company to which, by virtue of section 31. this section applies, a disposition which, if it had been made in favour of a relative of his, would have fallen within subsection (1) of section 6A, this section shall have effect in like manner as if the disposition had been made in favour of a relative of his, unless it is shown to the satisfaction of the Commis- sioner that no relative of the deceased was, at the time of the disposition or subsequently during the life of the deceased, a member of the company and for the purposes of this subsection a person who is, or is deemed by virtue of this provision to be, a member of a company to which this section applies and which is a member of another such company shall be deemed to be a member of that other company.
(4) In this section the expressions "annuity" and "relative" shall have the meaning attributed to them respec- tively in section 6A".
11. The Fifth Schedule to the principal Ordinance is amended by Amendment the deletion of the words "until the Schedule is superseded." and the of Filth substitution therefor of the following-
"before the 1st day of February, 1959,".
Schedule.
12. The principal Ordinance is amended by the addition after the Addition Fifth Schedule of the following new Schedules-
“SIXTH SCHEDULE.
Persons dying on or after the 1st day of February 1959, and until this Schedule is superseded.
Where the principal value of the estate
jk
[as. 3, 5, 11, 13. 14, 20, 21, & 24.J
of new Sixth wod Seventh Schedules,
Estate duty
shall be payable
at the rate
per cent of
3
Exceeds
04
H
50,000 and does not exceed 100,000 200.000
100,000
2
200,000
3
1
K
300,000
300,000
A
CE
350,000
7
350,000
་
肉眼
400,000
B
400,000
450,000
9
450,000
500,000
10
500,000
550,000
550,000
600,000
H
H
+
+4
No comments yet.
Private notes are available after approval.