Value Shifting Flashcards
1
Q
What is value shifting
A
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
2
Q
What are the deemed proceeds
A
Value that transfers into the new shares
Proceeds = Dads shareholding * difference in value
Minus any costs for the son
3
Q
What is the cost
A
Orginal cost * Proceeds / Proceeds + Value of dads new shareholding
