cgta79/s82.- Capital Gains Tax Act 1979 Section 82 Equation of converted securities and new holdings.

CHAPTER II

REORGANISATION OF SHARE CAPITAL, CONVERSION OF SECURITIES, ETC.

Conversion of securities

[1965 Sch.VII
5(1); 1966 Sch.X 7(3).]

82. - (1) Sections 78 to 81 above shall apply with any necessary adaptations in relation to the conversion of securities as they apply in relation to a reorganisation (that is to say a reorganisation or reduction of a company's share capital).

* * * * *

[1965 Sch. VII
5(3); 1967
Sch. XIII 4(5).]

(3) For the purposes of this section and section 83 below -

(a) "conversion of securities" includes -

(i) a conversion of securities of a company into shares in the company, and

(ii) a conversion at the option of the holder of the securities converted as an alternative to the redemption of those securities or for cash, and

(iii) any exchange of securities effected in pursuance of any enactment (including an enactment passed after this Act which provides for the compulsory acquisition of any shares or securities and the issue of securities or other securities instead)

(b) "security" includes any loan stock or similar security whether of the Government of the United Kingdom or of any other government, or of any public or local authority in the United Kingdom or elsewhere, or of any company and whether secured or unsecured.