Company A is planning sale of asset at substantial gain. It has a 100% sub B, acquired at high base cost, but with low asset cost. It has been suggested that B could hive-up its trade and assets, thus allowing A to utilise the high base cost to shelter the gain. How is this achieved, especially if the substantial shareholding exemption applies?
David Lochhead
6th Oct 2006
0
Sheltering capital gains
Sheltering capital gains