This section applies where—
If the carried interest arises to A in connection with the disposal of one or more assets of the partnership or partnerships—
If the carried interest arises to A in circumstances other than those specified in subsection (2), a chargeable gain of an amount equal to the amount of the carried interest less any permitted deductions is to be treated as accruing to A at the time the carried interest arises.
Subsections (2) and (3) do not apply in relation to carried interest to the extent that—
For the purpose of subsections (2) and (3) "permitted deductions" in relation to A means such parts of the amounts specified in subsection (6) as is just and reasonable.
Where the carried interest arises to A by virtue of his or her acquisition of a right to it from another person for consideration given in money by or on behalf of A, the amount of the chargeable gain accruing to A under subsection (2) or (3) is, on the making of a claim by A under this subsection, to be regarded as reduced by the amount of the consideration.
In this section—
"co-investment", in relation to A, means an investment made directly or indirectly by A in the scheme, where there is no return on the investment which is not an arm's length return within the meaning of section 809EZB(2) of ITA 2007;
"co-investment repayment or return" means a repayment in whole or in part of, or a return on, a co-investment;
"trade" includes profession or vocation.