Taxation of Chargeable Gains Act 1992 Schedule 2 paragraph 8

Interpretation of paragraphs 3 to 7

Schedule 2 paragraph 8 provides definitions of key terms used in the rules for computing gains and losses on quoted securities held on 6th April 1965.

• Quoted securities are assets listed on a recognised stock exchange that are deemed to have been acquired at their 6th April 1965 market value under paragraph 1 of Schedule 2.
• A fixed interest security is any security as defined by section 132 of the Act, which deals with the conversion of securities into new holdings.
• A preference share is one where the holder is entitled to a dividend at a fixed rate but has no other right to share in the company's profits.
• Where the classification of a share as a preference share depends on dividend rates payable on or before 5th April 1973, a dividend rate that fluctuated in line with the standard rate of income tax is treated as a fixed rate for these purposes.