Value Shifting Flashcards by sarah cuerden

What is value shifting

Operates where a person who has controlover a company excerses their control so that value passes out of their own shares in to other shares in the company

Treated as a part disposal for CGT purposes

How well did you know this?

Not at all

Perfectly

What are the deemed proceeds

Value that transfers into the new shares

Proceeds = Dads shareholding * difference in value
Minus any costs for the son

How well did you know this?

Not at all

Perfectly

What is the cost

Orginal cost * Proceeds / Proceeds + Value of dads new shareholding

How well did you know this?

Not at all

Perfectly

Value Shifting Flashcards

(3 cards)