VCM52130 - VCT: investor CG disposal relief: loss of VCT approval: effect of
TCGA92/S151B (6) & (7)
If the company is no longer approved as a VCT, any shares whose disposal would have been exempt from CGT will lose that exemption.
To preserve the effect of the exemption up to the time from which the withdrawal of approval takes effect, investors are treated as though they sold and immediately reacquired the exempt shares at their market value at the time the notice of withdrawal is issued.