»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýapp provisions work by withdrawing or restricting the indexation allowance due on the disposal of

• debts on a security
• redeemable preference shares
• other shares.

»Ê¹ÚÌåÓýapp provisions apply only where the companies involved are either members of the same group or are associated with each other. Such companies are referred to as `linked companiesâ€�. For this purpose a group comprises a company and its 51 per cent subsidiaries (not its 75 per cent subsidiaries or effective 51 per cent subsidiaries as in the general capital gains group definition). Companies are associated with each other if one controls the other or they are under common control.