(1). In which of the following situations would the SSE be available in respect of the disposal in the year ended 31 March 2022?
A BK Ltd sold 4% of the ordinary share capital of TW Ltd on 1 June 2021. It had owned 18% of TW Ltd for many years. TW Ltd is a trading company.
B DN Ltd purchased 8% of the ordinary share capital of GX Ltd on 1 January 2020. It sold all of the shares on 15 August 2021. GX Ltd is a trading company.
C PK Ltd purchased 22% of LV Ltd on 1 July 2018. It sold 16% of the company on 1 March 2021 and then sold all of the remaining shares on 30 September 2021. LV Ltd is a trading company.
(2). State whether the following statements are true or false.
A The SSE will relieve a degrouping charge arising on the sale of a company.
B Where shares are sold at a loss, the SSE may prevent a capital loss arising.