CG61810 - Roll-over relief: reorganisations of constituencies: successor association

Where the property is disposed of to a successor association, the existing association and the successor association are treated for capital gains purposes as if the land disposed of was acquired from the existing association for a consideration of such an amount as would secure that, on the disposal, neither a gain nor a loss accrued to the existing association. The successor association is treated as having incurred the same costs as the existing association.

These rules apply also if the land is disposed of by the existing association to the successor association through an intermediate body, that body being treated as having incurred the same costs as the existing association and the successor association being treated as incurring the same costs as the intermediate body.