Succession to limited liability partnership: converted LLP takes transferred block at predecessor's written down value, not original cost. Amendments provide that when a private or unlisted public company is converted into a limited liability partnership and the succession proviso conditions are met, capital assets on which an investment-related deduction was allowed will have their actual cost treated as nil for the successor; additionally, the actual cost of the transferred block of assets in the hands of the LLP shall be the written down value of that block as recorded in the transferor company on the date of conversion.
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Succession to limited liability partnership: converted LLP takes transferred block at predecessor's written down value, not original cost.
Amendments provide that when a private or unlisted public company is converted into a limited liability partnership and the succession proviso conditions are met, capital assets on which an investment-related deduction was allowed will have their actual cost treated as nil for the successor; additionally, the actual cost of the transferred block of assets in the hands of the LLP shall be the written down value of that block as recorded in the transferor company on the date of conversion.
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