Bombay Chartered Accountants Society

Bombay Chartered Accountants Society Recent developments in taxation of capital gains Pinakin Desai

Index Notional taxation w.r.t. FMV of unlisted equity shares (Section 50CA) Valuation of shares under normative valuation Resolving normative valuation of shares under Draft Notification Issues under normative valuation Normative valuation more than fair value whether a possibility? Valuation of unquoted equity shares Preference premium Transfer of CHC shares by Parent to subsidiary Section 195 WHT on actual or notional consideration for 50CA Cost of bonus shares - Shift of base year for indexation from 1981 to 2001 slide 2 Recent developments in taxation of capital gains

Index Amendment to Section 10(38) - Third proviso to section 10(38) Background on 10(38) Notification on 3 rd proviso to 10(38) Case study - Acquisition in IPO Case study - Acquisition pursuant to merger Case study Gift of shares Case study Inter-se promoter transfer Case study Acquisition pursuant to conversion of company into LLP slide 3 Recent developments in taxation of capital gains

Index Protocol to India-Mauritius treaty Impact of grandfathering under India-Mauritius treaty Mauritius and MLI Protocol to India-Singapore treaty Indirect transfer of India assets Case study Direct transfer v. indirect transfer Case study Impact of dividend distribution slide 4 Recent developments in taxation of capital gains

Case studies on Section 50CA slide 5 Recent developments in taxation of capital gains

Notional taxation w.r.t. FMV of unlisted shares (S.50CA) If sale price of non-quoted shares held as capital asset < prescribed FMV FMV deemed as full value of consideration in place of actual consideration Extends to all form of unquoted shares - whether equity or preference Extends to all categories of assesses Quoted share means shares traded regularly on RSE and price based on current transaction in the ordinary course of business Transfer of listed shares in overseas jurisdiction may also be covered. No relaxation even if transfer among relatives No de minimis exemption Provision akin/similar to section 50C/43CA: Draft Notification for FMV of non-quoted equity shares released for public consultation Mechanism to derive FMV of preference shares not prescribed for 50CA For 56(2)(x), FMV as certified by accountant or merchant banker slide 6 Recent developments in taxation of capital gains

Notional taxation w.r.t. FMV of unlisted shares (S.50CA) Per se provision has no impact on MAT computation Transfer without consideration i.e. where no consideration received or accruing Transfer exempt u/s 47 or treaty protected or exempt otherwise Recipient of share may suffer gift taxation u/s 56, leading to dual taxation Cost step up available u/s 49(4) slide 7 Recent developments in taxation of capital gains

Valuation of shares under normative valuation Draft valuation Rule notified under 50CA 1 Under draft valuation rules, all the assets and liabilities of ICo to be taken at book value except the following assets: Assets Valuation methodology Jewellery, work of art Unquoted Equity shares Immovable property Quoted shares and securities. (say, quoted shares held by CHC) Market price as per valuation report FMV determined in the manner provided under this draft rule Stamp Duty Value Transaction value recorded in such stock exchange on date of transaction of CHC shares If share not traded as on valuation date 2, lowest price on any RSE preceding the valuation date 1 Prone to change 2 Date of transfer or receipt of consideration slide 8 Recent developments in taxation of capital gains

Case Study: Resolving normative Valuation of shares as per Draft Notification 3 Equity shareholders Facts: Promoters hold equity shares in ICo (CHC) ICo holds shares of A Co, B Co, foreign listed company and partnership interest ICo (CHC) LLP owns intellectual property B Co is a listed company which owns immovable properties and shares of CHC A Co holds immovable properties Foreign List Co principally owns immovable LLP Intellectual property B Co (Listed) Immovable properties + share of CHC A Co (CHC) Immovable properties Foreign List Co Immovable properties outside India Issue: properties outside India Promoters wish to transfer shares of SPV (ICo) Impact of section 50CA in the hands of promoters on transfer of non-quoted equity shares of SPV? 3 Prone to change slide 9 Recent developments in taxation of capital gains

Case Study: Resolving normative Valuation of shares as per Draft Notification 4 Equity shareholders Valuation of shares of ICo based on draft valuation rule Book value of assets and liabilities of ICo subject to: ICo No valuation mechanism prescribed for valuation of partnership interest No need to open up LLP Balance Sheet of B Co not to be opened up FMV of B Co based on stock exchange value on date of transaction LLP Intellectual property B Co (Listed) Immovable properties + share of CHC A Co (CHC) Immovable properties Foreign List Co Immovable properties outside India Book value of shares of A Co to be adjusted by ICo - Stamp duty value of immovable property Foreign listed shares not considered quoted shares for the purpose of Rule 11UA Book value of immovable property in absence of SD mechanism 4 Prone to change slide 10 Recent developments in taxation of capital gains

Issues under normative valuation No de minimis exemption: no relief for inter-se transfers between relatives/ subsidiaries-hold Co. Difficulty in carry out valuation of all down stream investment as underlying balance sheets may not be available Valuation of overseas listed and unlisted companies may be difficult Varying valuation due to different valuation mechanism under FEMA guidelines, indirect transfer rules Draft rules make no distinction between* Productive Vs Surplus/ Unproductive assets Valuation of stock in trade at fair value (Jewellery, immovable property) Reckons value without considering impact of tax No discount for minority interest / restrictions on transferability * List is illustrative slide 11 Recent developments in taxation of capital gains

Normative valuation more than fair value whether a possibility? Promoters Possibility - Normative valuation is more than fair valuation Value of shares of SPV to derive value from shares B Co Valuation of B Co. [CHC] SPV Commercial fair value of B Co. Rs 1000 Under normative valuation Balance sheet of B Co. to be opened up B Co [CHC] Hotel Business not doing well Substantial immovable properties Valuation of immovable property based on value adopted for stamp duty purpose Rs 2,000 Value of B Co under normative valuation higher than fair value of business Whether vires of section 50CA be challenged in light of SC ruling in case of K P Varghese v ITO [1981] 131 ITR 597 slide 12 Recent developments in taxation of capital gains

Case Study: Valuation of unquoted equity shares Preference premium Facts: Preference Shares issued at premium and redeemable at premium Equity shareholders Preference shareholders Net worth of ICo is Rs 800 Respective holders contemplating to transfer equity as also preference of I Co I Co Indicative Balance sheet of I Co Liabilities Amt (INR) Assets Amt (INR) ESC 100 Assets 800 RPS 200 Securities premium 500 Total 800 800 Issue: Whether premium on preference shares is liability to be reduced for normative valuation of Equity Shares? Comments Valuation of preference shares likely to factor premium Securities premium received at time of issue akin to Reserves and Surplus R&S not to be reduced under normative valuation Equity holders to bear commercial value of preference shares Commercial value may include premium receivable on redemption slide 13 Recent developments in taxation of capital gains

Case Study: Transfer of CHC shares by Parent to subsidiary Facts: Parent Parent holds 99% in CHC 1 and 90% shares of CHC 2 Parent transfers shares of CHC 2 to CHC1 at book cost Transfer of CHC 2 shares 99% Investment 90% Issue: Tax implications to Parent and CHC 1? Tax implications to Parent: CHC 1 CHC 2 No MAT as sale at book cost No 47(iv) exemption as transfer not to WOS Value substitution possible in Assessment of parent company No de-minimus or other exemption and 50CA applicable Tax implications to CHC 1 Risk under 56(2)(x) if normative value higher than book cost Cost step up for actual consideration or higher value taxed under 56(2)(x) slide 14 Recent developments in taxation of capital gains

Section 195 - Withholding on actual or notional consideration for 50CA? Asset acquired at Rs. 100 is sold for Rs. 300 AO determines normative FMV to be Rs. 1,000 Capital gains as per books is 200 while as per normative formula is 900 Tax liability w.r.t. book gain is 40 (20% of 200) while as per A.O. it is 180 (20% of 900) Should payer deduct Rs. 40 while crediting/paying Rs. 300 or Rs. 180? Text of S. 195 Any person responsible for paying (i.e. responsible for paying Rs. 300) to a non-resident, any other sum chargeable under the provisions of this Act shall, at the time of credit of such income (i.e. Rs. 300) to the account of the payee or at the time of payment thereof (i.e. Rs. 300) in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon (Capital gain of 200 / 900?) at the rates in force Recipient (Primary) liability remains unaffected slide 15 Recent developments in taxation of capital gains

Cost of bonus shares - Shift of base year for indexation from 1981 to 2001 slide 16 Recent developments in taxation of capital gains

Cost of bonus shares - Shift of base year for indexation from 1981 to 2001 Facts: I Co Buyer I Co and Sub Co are CHC ICo holds 100% in Sub Co. 100% Sale of 100% shares (including bonus) Sub Co granted bonus to ICo in two tranches: Tranche 1: 1 April 1998 Sub Co Tranche 2: 1 April 2004 I Co proposes to transfer entire shareholding to buyer Issue: Issue of bonus shares Tranche 1 1 April 1998 Tranche 2 1 April 2004 Cost of bonus shares while computing capital gain? Comments FA 2017 amended base year for indexation benefit from 1981 to 2001 w.e.f 1 April 2018 Section 55(2)(aa)(iia) Ordinarily cost of bonus shares Nil but subject to 55(2)(b) slide 17 Recent developments in taxation of capital gains

Cost of bonus shares - Shift of base year for indexation from 1981 to 2001 I Co Buyer Section 55(2)(b)(i) deals with determination of cost of capital assets acquired prior to 1 April 2001 Under Section 55(2)(b), at the option of taxpayer, cost will be: 100% Sale of 100% shares (including bonus) FMV of bonus shares as on 1 April 2001; or Cost of acquisition of shares Sub Co Arguable that for bonus shares acquired prior to 1 April 2001, FMV of shares as on 1 April 2001 post indexation is the COA FMV cannot be diluted because there was bonus issue in 2004 Supported in some judicial precedents FMV substitution available for capital assets acquired by way of 49(1) transactions (ie gift, will, certain section 47 transactions) Cost of bonus shares acquired on 1 April 2004 will be Nil [Refer, section 55(aa)(iia) and 55(2)(b) not applicable] Similarly, cost of intangible capital assets (goodwill, brand, trademark etc) to be Nil as governed by 55(2)(a) and not 55(2)(b) slide 18 Recent developments in taxation of capital gains

Amendment to section 10(38) slide 19 Recent developments in taxation of capital gains

Background on section 10(38) Section 10(38) grants LTCG exemption under normal computation on sale of LTCA (being equity shares, equity oriented fund and business units) on Recognized Stock Exchange upon payment of STT No exemption u/s 10(38) for computing MAT FA 2017 inserted 3 rd proviso to Section 10(38) to curtail exemption granted u/s. 10(38) for equity shares, if sold on RSE post 31 March 2017 Intent: Target to prevent money laundering through penny stocks The proviso does not grant 10(38) exemption if: the acquisition was on or after 1 October 2004 and such transaction was not chargeable to STT, unless specifically relieved by the Notification No. 43/ 2017 dated 5 June 2017 The expression acquisition is wide: Extends to cover primary subscription and secondary purchase slide 20 Recent developments in taxation of capital gains

FA 2017 Insertion of 3 rd proviso to Section 10(38) Third proviso to Section 10(38) inserted vide FA 2017 reads as under: Provided also that nothing contained in this clause shall apply to any income arising from the transfer of long-term capital asset, being an equity share in a company, if the transaction of acquisition, other than the acquisition notified by the Central Government in this behalf, of such equity share is entered into on or after 1 st day of October, 2004 and such transaction is not chargeable to securities transaction tax under Chapter VII of the Finance (No.2) Act, 2004 (23 of 2004) slide 21 Recent developments in taxation of capital gains

Section 10(38) - Notification No. 43/2017 Target Acquisitions under scanner The Notification provides the list of transactions which are not exempt under Section 10(38), unless excepted Limitation applicable to Acquisition on or after 1 October 2004: Clause (a) Acquisition of existing listed equity shares of thinly traded company by way preferential allotment Clause (b) Transaction of Acquisition of existing listed equity shares off market Clause (c) Acquisition of unlisted equity shares of a company post delisting but prior to relisting slide 22 Recent developments in taxation of capital gains

Section 10(38) - Notification No. 43/2017 Exceptions to negative list The exceptions provided in the Notification are as under: Clause (a) Acquisition of existing listed equity shares of thinly traded company by way preferential allotment i. Approved by SC/HC/NCLT/SEBI/RBI ii. iii. Carve Outs Acquisition by NR in accordance with FDI Acquisition by Category I/II AIF and VCF iv. Through preferential allotment not governed by Chapter VII of SEBI (ICDR), 2009 To lender or debenture holder on conversion of loan or debt (subject to conversion terms provided at time of issue) Under scheme approved by HC under 391-394 or 230-234 In terms approved by Rehabilitation scheme (BIFR, SICA 1985, Insolvency and Bankruptcy Code slide 23 Recent developments in taxation of capital gains

Section 10(38) - Notification No. 43/2017 Exceptions to negative list The exceptions provided in the Notification are as under: Clause (b) Transaction of acquisition of existing listed equity shares off market Carve Outs Following acquisitions only if made in accordance with SCRA, 1956 (if applicable): i. Through fresh issue of shares [other than thinly traded shares covered by clause (a)] ii. iii. iv. By banks, PFIs, reconstruction or securitization company Approved by SC/HC/NCLT/SEBI/RBI Under SEBI (ESOP and ESPS) Guidelines. v. By NR in accordance with FDI vi. Under SEBI (SAST) Regulations, 2011 vii. viii. ix. From Government By Category I/II AIF and VCF By mode of transfer specified in s. 47/50B provided previous owner was eligible to claim exemption slide 24 Recent developments in taxation of capital gains

Case Studies on section 10(38) slide 25 Recent developments in taxation of capital gains

Case study - Acquisition in IPO Facts A Co is an unlisted company The promoters of A Co. to raise funds by listing A Co. on RSE for the first time Fresh issue of shares by A Co. Acquisition/ Issue of shares in IPO Issue Shares would be received by public shareholders off market (ie prior to listing) Whether shares acquired in IPO eligible for exemption under 10(38)? A Co Comments Not a case of existing listed equity shares, hence outside clause (a) and (b) of notification: Without prejudice: acquisition by way of fresh issue protected by point (i) of proviso to clause (b) of notification protects All bonus issues, rights issues, ESOP protected too slide 26 Recent developments in taxation of capital gains

Case study - Acquisition pursuant to merger A Co. Facts Off market acquisition of listed shares by B Co. 100% Vesting of such shares in C Co. pursuant to tax neutral merger approved by NCLT/ HC B Co. C Co. (Listed company) Issue of listed shares to A Co. as merger consideration Tainted Acquisition of listed shares by B Co. 20% Vesting of listed shares in C Co. on merger Acquisition of listed shares of C Co by A Co. off market Issues Whether A Co. and C Co. eligible for 10(38) exemption? D Co (List Co) slide 27 Recent developments in taxation of capital gains

Case study - Acquisition pursuant to merger (contd ) A Co. Eligibility of 10(38) to C Co. C Co acquires shares of D Co as merged entity 100% Acquisitions by C Co. pursuant to merger scheme approved by HC/ NCLT [exempt at item (iii) of clause (b)] B Co C Co. (Listed company) Though exempt transfer u/s.47 carve out at item (ix) not applicable for C Co. as B Co. not eligible Eligibility of 10(38) to A Co. Tainted Acquisition of listed shares by B Co. 20% Vesting of listed shares in C Co. on merger A Co acquires as shareholder of merging company: Fresh issue of listed shares exempt as item b(i) of notification Acquisition pursuant to NCLT/ HC [exception at item b(iii)] Exempt u/s 47 transaction. Carved out under item b(ix)? No previous owner of A Co. D Co (List Co) Fast Track merger does not need HC/ NCLT approval slide 28 Recent developments in taxation of capital gains

Case study Gift of shares Mr. X Gift - off market Mr. Y Gift Off market Mr. Z Transaction of gift [47(iii)] Z received as gift off market without STT Such transaction covered by S. 47 and can be exempted under item (ix) of clause (b): if previous owner was eligible to claim The eligibility of 10(38) in the hands of Mr Z to be seen qua previous owner of shares STT paid acquisition Disposal of shares on a RSE Previous owner for Mr Z - Mr Y or Mr X? Analogy from definition of previous owner as defined under Explanation to Section 49(1)? Under 49(1), cost and holding period substitution would be taken from Mr X and consequently eligibility to be seen qua Mr X!! Acquisition by way of inheritance Same analogy as gift. It is not a transaction too. slide 29 Recent developments in taxation of capital gains

Case study Inter-se promoter transfer Mr. X Present structure Mr. Y Facts: Mr. X and Mr Y are promoters of I Co (Listed Co) holding 45% and 10% respectively Mr X to transfer 35% shares to Mr Y as under: Sold off market to Mr. Y for consideration; or 45% 10% I Co (List Co) Resultant structure post transfer Mr. X Mr. Y On stock exchange in private window Post STT Whether Mr. X and Mr. Y eligible to claim s. 10(38) exemption? Eligibility of 10(38) to Mr. X: Transfer of 35% stake 10% 45% Had it been Off market transfer Not eligible to capital gains exemption as no STT paid Stock exchange transfer I Co (List Co) Eligible for 10(38) as STT paid slide 30 Recent developments in taxation of capital gains

Case study Inter-se promoter transfer Mr. X Present structure Mr. Y Eligibility of 10(38) to Mr. Y: Off market acquisition of existing equity shares 45% 10% I Co (List Co) Clause (b) applicable Acquisition by Mr Y of 35% equity likely to trigger open offer under SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 [ SEBI (SAST) ] Resultant structure post transfer Mr. X Mr. Y Transfer of 35% stake 10% 45% I Co (List Co) Being inter-se promoter transfer, Regulation 10 of SEBI (SAST) Regulations, 2011 may exempt Mr Y from open offer subject to disclosure requirements Disclosure required under Regulation 10 and Regulation 29 of SEBI (SAST) Regulations Arguable that exemption under item (vi) of clause (b) available as acquisition made under SEBI (SAST) Regulations slide 31 Recent developments in taxation of capital gains

Case study Acquisition pursuant to conversion of company into LLP Promoters Partners Facts A Co acquired shares of listed company on RSE Non-tax neutral conversion of A Co. into LLP Issue Eligibility of LLP to claim exemption u/s 10(38) as shares vest without STT? Conversion of Company to LLP Comments A Co LLP Acquisition/ vesting in LLP off market - Not qualifying as section 47 conversion Third proviso to Section 10(38) and clause (b) requires transaction of acquisition List Co shares List Co shares Akin to acquisition by way of inheritance It is not a transaction too. Whether arguable that such conversion is not transaction of acquisition? slide 32 Recent developments in taxation of capital gains

Recently concluded treaties with Mauritius and Singapore slide 33 Recent developments in taxation of capital gains

Case Study - Impact of grandfathering under India-Mauritius treaty Facts US Co The acquisition of shares and CCDs of ICo by Mau Co has taken place as under: 100% Mau Co 100% I Co Mau Co 1 Transfer of shares and CCDs of I Co Outside India India Issue Particulars Grandfathering benefit under India-Mauritius treaty on sale of shares of ICo by Mau Co to Mau Co 1? Year of Acquisition Original subscription 2008-09 Subscription of partly paid shares 2016-17 Acquisition of CCDs 2017-18 Bonus shares 2017-18 Received as gift (Donor acquired in 2010) 2017-18 slide 34 Recent developments in taxation of capital gains

India-Mauritius protocol 3A. Gains from the alienation of shares acquired on or after 1st April 2017 in a company which is resident of a Contracting State may be taxed in that State. 3B. However, the tax rate on the gains referred to in paragraph 3A of this Article and arising during the period beginning on 1st April, 2017 and ending on 31 st March, 2019 shall not exceed 50% of the tax rate applicable on such gains in the State of residence of the company whose shares are being alienated; 4. Gains from the alienation of any property other than that referred to in paragraphs 1, 2, 3 and 3A shall be taxable only in the Contracting State of which the alienator is a resident. slide 35 Recent developments in taxation of capital gains

Transfer of shares/ccd in FY 2018-19 Nature of acquisition Year of Grandfathering Benefit of 50% of CG acquisition under I-M Protocol? tax in window period Original subscription 2008-09 Yes, Acquired before 31.03.17 Academic, Fully exempt Subscription of partly paid shares 2016-17 Arguably Yes Academic, Fully exempt Acquisition of CCDs 2017-18 Academic as CCDs exemption not restricted Bonus shares 2017-18 No, acquired post March 2017 Received as gift 2017-18 No, acquired post March 2017 Academic, Fully exempt Can claim concession subject to LOB Can claim concession subject to LOB slide 36 Recent developments in taxation of capital gains

Mauritius and Multilateral (MLI) Treaty I-M current treaty does not have PPT test I-M current treaty does not have LOB clause where there is complete grand-fathering Mauritius has not covered India as CTA under MLI No change in treaty status until bilateral negotiations concluded slide 37 Recent developments in taxation of capital gains

Protocol amending India-Singapore treaty Singapore Company established in 2015 has the following investments Shares subscribed and fully paid shares in December 2016 CCD subscribed in same I Co in April 2017 Re-negotiated India Singapore treaty Grandfathers capital gain derived from investments in shares of I Co prior to 31 March 2017 Obtaining tax exemption under the treaty subject to Establishing tax residence of Singapore in context of capital gains exemption upon compliance with Primary purpose behind investment was not to claim capital gains exemption Compliance with the annual expenditure test Continues to exempt capital gains from sale of CCD or other securities as before In fact, LOB conditions do not apply to other securities post 1 April 2017 Unlike Mauritius, India Singapore treaty likely to change as a result of MLI signed in June 2017 MLI may likely take effect for taxation of capital gain accruing on or after 2019/2020 slide 38 Recent developments in taxation of capital gains

Indirect transfer of India assets Page 39 12 July 2017 Presentation title

Case study Direct transfer v. indirect transfer US Co France Co Indirect transfer NO TREATY PROTECTION Indirect transfer TREATY PROTECTION Mau Co UK Co Direct transfer TREATY PROTECTION Direct transfer NO TREATY PROTECTION Outside India Outside India India India ICo ICo Direct transfer beneficial!! Indirect transfer beneficial!! slide 40 Recent developments in taxation of capital gains

Case study Direct transfer v. indirect transfer Article 14 of India-France tax treaty Capital Gains 4. Gains from the alienation of shares of the capital stock of a company the property of which consists directly or indirectly principally of immovable property situated in a Contracting State may be taxed in that Contracting State. For the purposes of this provision, immovable property pertaining to the industrial or commercial operation of such company shall not be taken into account. 5. Gains from the alienation of shares other than those mentioned in paragraph 4 representing a participation of at least 10 per cent in a company which is a resident of a Contracting State may be taxed in that Contracting State. 6. Gains from the alienation of any property other than that mentioned in paragraphs 1, 2, 4 and 5 shall be taxable only in the Contracting State of which the alienator is a resident. slide 41 Recent developments in taxation of capital gains

Case study Impact of dividend distribution Fact pattern FCo SPV and ICo are presently debt-free entities Cost of acquisition to SPV of ICo shares = 30 Dividend payout FMV of ICo in SPV > 50% [Rule 11UB] SPV Shares of SPV deemed to be situated in India; Capital gains trigger upon transfer of SPV shares by FCo Overseas Assets ICo Outside India India SPV makes payment of dividend to FCo Circular 4/2015 exempts overseas dividend Dividend distribution out of overseas assets Dividend in the form of ICo shares attracts receipt based taxation in India FCo transfers shares of SPV at FMV Reduction in overall FMV of SPV Lower consideration on transfer; lower capital gains slide 42 Recent developments in taxation of capital gains

Comparative tax Impact pre and post dividend distribution FMV matrix of SPV: FCo Dividend payout Particulars Pre dividend Dividend pay-out Post dividend India assets value (A) 55 Nil 55 SPV Overseas assets value (B) 45 45 - Sale value of SPV (C = A + B) 100-55 Indexed cost of SPV shares (D) 30-30 Overseas Assets Total capital gains (E = C D) 70-25 Outside India India Proportion of India assets (F = A/C) 55% - 100% Proportionate capital gains taxable in India as India as per Rule 11UC (E*F) 38.5-25 ICo slide 43 Recent developments in taxation of capital gains

Adverse impact of dividend distribution FMV matrix of SPV: FCo Dividend payout Particulars Pre dividend Dividend pay-out Post dividend India assets value (A) 45 Nil 45 SPV Overseas assets value (B) 55 45 10 Sale value of SPV (C = A + B) 100-55 Overseas Assets Outside India India Indexed cost of SPV shares (D) 30-30 Total capital gains (E = C D) 70-25 Proportion of India assets (F = A/C) 45% - 56% Proportionate capital gains taxable in India as per Rule 11UC (E*F) - - 14 ICo slide 44 Recent developments in taxation of capital gains

Thank You This Presentation is intended to provide certain general information existing as at the time of production. This Presentation does not purport to identify all the issues or developments. This presentation should neither be regarded as comprehensive nor sufficient for the purposes of decisionmaking. The presenter does not take any responsibility for accuracy of contents. The presenter does not undertake any legal liability for any of the contents in this presentation. The information provided is not, nor is it intended to be an advice on any matter and should not be relied on as such. Professional advice should be sought before taking action on any of the information contained in it. Without prior permission of the presenter, this document may not be quoted in whole or in part or otherwise.