Section 31

because of a transfer or proposed transfer to the transferee company of any business of the transferor company to which the subject award relates, the transferee company instead of the transferor company is or will be producing the subject product, or is or will be engaging in the subject activity; and

it is in the public interest to approve the transfer.

impose on the transferee company as conditions of the subject award transferred to it any conditions that the Minister thinks fit, which may be the same as or different from the conditions imposed on the transferor company for the subject award; and

add to the conditions, or vary or remove any conditions, imposed on the transferor company for the subject award that relates to any pioneer product, Part 3 qualifying activity or Part 4 qualifying activity (as the case may be) under the subject award that the transferor company continues to produce or engage in.

specify an amount as the average corresponding income of the transferee company for the subject activity for the year of assessment for which the approval is given and subsequent years of assessment, which may be —

the average corresponding income of the transferor company for the subject activity immediately before the specified date mentioned in subsection (6)(a); or

any other amount that the Minister thinks fit; and

substitute, with effect from the year of assessment for which the approval is given and subsequent years of assessment, the average corresponding income of the transferor company for any Part 4 qualifying activity under the subject award that it continues to engage in on or after the specified date mentioned in subsection (6)(a), with any amount that the Minister thinks fit.

on a date specified by the Minister (called in this section the specified date), the transferor company ceases to be, as the case may be —

a pioneer enterprise for the subject product;

a pioneer service company for the subject activity; or

a development and expansion company for the subject activity;

starting on the specified date, the transferee company is treated as having been approved as a pioneer enterprise, a pioneer service company, or a development and expansion company for the subject product or subject activity, as the case may be;

the transferee company’s production day of the subject product, Part 3 commencement day of the subject activity, or Part 4 commencement day of the subject activity (as the case may be) is the same as that of the transferor company, for the purposes of determining the transferee company’s tax relief period under Part 2, 3 or 4;

where the subject award is a development and expansion award, the transferee company is treated as having, for the purposes of section 21(13), (14), (15), (16) and (17), the same concessionary rate of tax for each part of the tax relief period for its expansion income derived on or after the specified date from the subject activity, as that of the transferor company had the transferor company remained a development and expansion company for the subject activity;

the Minister must —

amend the certificate for the subject award issued to the transferor company to remove the subject product or subject activity, as the case may be; or

cancel the certificate for the subject award if the transferor company no longer produces any pioneer product, or engages in any Part 3 qualifying activity or Part 4 qualifying activity (as the case may be), specified in the certificate; and

the Minister must issue a certificate to the transferee company for the subject award transferred to it for the subject product or subject activity (as the case may be) in accordance with section 32.

the specified date may be the same as or different from the date on which the Minister approves the application; and

the tax relief in Part 2, 3 or 4 (as the case may be) does not apply to any income derived by the transferee company before the specified date.[22