51A. Disposal of residence by company or trust and liquidation, winding up, deregistration or termination of company or trust
(1) Subject to subparagraph (6), this paragraph applies where a company or trust disposes of an interest in a residence and-
(a) the disposal takes place on or before 31 December 2012;
(b) the residence to which that interest relates is mainly used for domestic purposes during the period commencing on 11 February 2009 and ending on the date of the disposal contemplated in item (a) by one or more natural persons who are connected persons in relation to the company or trust at the time of that disposal; and
(c) ……….
(d) within a period of six months commencing on the date of the disposal contemplated in item (a)-
(i) in the case of a company making the disposal, that company has taken steps to liquidate, wind up or deregister as contemplated in section 41(4); or
(ii) in the case of a trust making the disposal, steps have been taken to terminate the trust.
(2) Where a company or a trust makes a disposal of an interest in a residence as contemplated in subparagraph (1), that company or trust must be deemed to have made that disposal for an amount equal to the base cost of that interest as at the date of that disposal.
(3) Where-
(a) an interest in a residence has been acquired by a person as a result of a disposal by a company of that interest to that person as contemplated in subparagraph (1);
(b) that person (together with all other persons holding shares in that company) acquired all the shares in the company subsequent to the date of acquisition by the company of that interest; and
(c) 90 per cent or more of the market value of the assets held by the company during the period commencing on 11 February 2009 and ending on the date of the disposal contemplated in subparagraph (1)(a) is attributable to that interest,
that person must-
(i) disregard the disposal of all shares held by that person in that company for purposes of determining his or her taxable income, assessed loss, aggregate capital gain or aggregate capital loss if that disposal is made in anticipation of or in the course of the liquidation, winding up or deregistration of that company; and
(ii) be deemed to have acquired that interest at a cost equal to the base cost of the shares contemplated in subitem (i) as at the date of the acquisition by the person of those shares plus the cost of any improvements effected in respect of that interest subsequent to that date of acquisition.
(4) Where an interest in a residence has been acquired by a person as a result of a disposal by a company of that interest to that person as contemplated in subparagraph (1) and where subparagraph (3) does not apply-
(a) that person must disregard the disposal of any share in that company for purposes of determining his or her taxable income, assessed loss, aggregate capital gain or aggregate capital loss if that disposal is made in anticipation of or in the course of the liquidation, winding up or deregistration of that company; and
(b) that person and that company must be deemed to be one and the same person with respect to-
(i) the date of acquisition of that interest by that company;
(ii) the amount and date of incurral by that company of any expenditure in respect of that interest allowable in terms of paragraph 20; and
(iii) any valuation of that interest effected by that company as contemplated in paragraph 29(4).
(5) Where an interest in a residence has been acquired by a person as a result of a disposal by a trust of that interest to that person as contemplated in subparagraph (1), that person and that trust must for purposes of determining any capital gain or capital loss in respect of the disposal by that person of that interest so acquired be deemed to be one and the same person with respect to-
(a) the date of acquisition of that interest by that trust;
(b) the amount and date of incurral by that trust of any expenditure in respect of that interest allowable in terms of paragraph 20; and
(c) any valuation of that interest effected by that trust as contemplated in paragraph 29(4).
(6) This paragraph does not apply to any disposal made to a person unless-
(a) within a period of six months commencing on the date of that disposal-
(i) where that person is a company, that company has taken steps to liquidate, wind up or deregister as contemplated in section 41(4); or
(ii) where that person is a trust, steps have been taken to terminate the trust.
(b) one or more natural persons contemplated in subparagraph (1)(b) acquire the residence contemplated in that subparagraph on or before 31 December 2012.
(7) ……….