Taxes Consolidation Act 1997 section 705

Reorganisation of trustee savings banks into companies

Section 705 applies Schedule 17 to the reorganisation of trustee savings banks into companies, ensuring no adverse tax consequences arise from the conversion.

• Schedule 17 applies where one or more trustee savings banks reorganise into a company under section 57 of the Trustee Savings Banks Act 1989.
• The provision also covers the further reorganisation of a company formed under that process into another company, as envisaged by the same legislation.
• No balancing adjustments arise on the transfer of assets from the predecessor to the successor entity.
• Assets acquired by the successor company are treated as having been acquired at the time they were originally acquired by the predecessor trustee savings bank.