Capital Acquisitions Tax Consolidation Act 2003 section 93

Relevant business property

Section 93 defines what constitutes "relevant business property" for the purposes of business property relief under Capital Acquisitions Tax.

• Relevant business property includes a business or interest in a business, unquoted shares giving more than 25% voting control, unquoted shares in a company controlled by the beneficiary, and unquoted shares representing 10% or more of share capital where the beneficiary has been a full-time employee for five years.
• Land, buildings, machinery or plant used by a company controlled by the disponer (including joint control by spouses or civil partners), or by a partnership in which the disponer was a partner, also qualify, as do quoted shares that were unquoted when the disponer first acquired them or at 23 May 1994, whichever is later.
• Property does not qualify if the business consists wholly or mainly (i.e. more than 50%) of dealing in currencies, securities, shares, land or buildings, or making or holding investments, though an exception applies for holding companies whose subsidiaries carry on qualifying businesses or where share value is mainly attributable to trading activities.
• Land, buildings, machinery or plant used by a business only qualify if transferred at the same time as the business interest or shares, and the business interest or shares must independently qualify as relevant business property.