APPENDIX .
Finance Act, 192°

‘Section 55, as amended by Finance Act, 1928, Section :
(The revision of the 1927 Act made by the 1028 Act ts shoum in italic.

(1) If in connection with a scheme for the reconstruction of any
company or companies or the amalgamation of any companies it is
shown to the satisfaction of the Commissioners of Inland Revenue
that there exist the following conditions, that is to say—

fa) that a company with limited liability is to be registered, or

that since the commencement of this Act a company has
been incorporated by letters patent or Act of Parliament,
or the nominal share capital of a company has been
increased ;
that the company (in this section referred to as ‘the
transferee company’) is to be registered or has been
incorporated or has increased its capital with a view to the
acquisition either of the undertaking of, or of not less than
ninety per cent. of the issued share capital of. any parti-
cular existing company:

that the consideration for the acquisition (except such part

thereof as consists in the transfer to or discharge by the

transferee company of liabilities of the existing company)
consists as to not less than ninety per cent. thereof—

(i) where an undertaking is to be acquired, in the issue
of shares in the transferee company to the existing
company or to holders of shares in the existing com-
company; or

'i1) where shares are to be acquired, in the issue of shares
in the transferee company to the holders of shares in
the existing company in exchange for the shares held by
them in the existing company;

then. subject to the provisions of this sectiu.

(A) The nominal share capital of the transferee company, or the
amount by which the capital of the transferee company has been
increased, as the case mav be. shall. for the purpose of computing

C

Relief from capi-
tal and transfer
stamp duty in
case of recon-
structions or
amalgamations
nf companies.