IHTM18335 - Investments on alternative markets: large or control holdings

Large holdings

Where the value stated for any individual holding of shares on an alternative market exceeds £100,000, do not accept the value without referral to Shares and Assets Valuation (SAV). Unless it is clear that PC&S have already referred the valuation to SAV,

• refer to SAV on a memo endorsed “Large Holding”.

SAV will check on the percentage size of the holding and consider whether (exceptionally) a premium over the listed price should be sought.

• If a reduction in value is claimed by the taxpayer on account of the size of the entire holding, refer the matter to SAV (Information Support).
• If any other challenge is made to the “holdings of marketable size/lots” (IHTM18091) basis of valuation, refer to SAV (Information Support) for advice.

Control holdings

For controlling shareholdings, it is likely that business relief (IHTM25172) will be claimed under IHTA84/S105 (1)(b).

Instalments (IHTM30191) may also be claimed (under IHTA84/S227 (2)(b) and IHTA84/S228 (1)(a)) with interest relief (IHTM30363) (IHTA84/S234 (1)(a)).

• Refer such claims to SAV (Information Support).