Finance Act, 1956
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Amendment of section 7 of Finance Act, 1932. |
7.—(1) In this section “the principal section” means section 7 of the Finance Act, 1932 (No. 20 of 1932). | |
(2) Where— | ||
(a) a company has issued any stocks, shares or securities in respect of which a certificate under subsection (2) of the principal section has been given and continues to have effect, and | ||
(b) the company subsequently issues, whether before or after the passing of this Act, any stocks, shares or securities— | ||
(i) offered or allotted to the holders as such, at or about the time of such subsequent issue, of the first-mentioned stocks, shares or securities or of a particular class thereof, and | ||
(ii) so offered or allotted on a basis calculated by reference to the respective holdings of those holders, | ||
the stocks, shares or securities which the company subsequently issues as aforesaid shall, for the purposes of the principal section, be deemed to be issued for public subscription. | ||
(3) Notwithstanding anything contained in paragraphs (b) and (c) of subsection (2) of the principal section, a certificate may be given under that subsection in respect of any stocks, shares or securities of a company which were or are issued as fully paid up and which, by virtue of subsection (2) of this section, are deemed to be issued for public subscription. | ||
(4) Where a certificate is given under subsection (2) of the principal section in respect of any stocks, shares or securities which, by virtue of subsection (2) of this section, are deemed to be issued for public subscription, relief or repayment under subsection (1) of the principal section shall, nevertheless, not be granted in respect of any dividend or interest on the stocks, shares or securities which was payable before the date of the certificate. |