Subsection (2) applies if—
there is a union or amalgamation of two or more relevant bodies or a transfer of engagements from one relevant body to another, and
in the course of, or as part of, that union, amalgamation or transfer there is a disposal of an asset by one relevant body to another.
Both bodies are treated for the purposes of corporation tax on chargeable gains as if the asset were acquired from the body making the disposal for a consideration which is of the amount needed to secure that on the disposal neither a gain nor a loss accrues to the body making the disposal.
In this section "relevant body" means—
a registered society within the meaning of the Co-operative and Community Benefit Societies Act 2014 or a society registered or treated as registered under the Industrial and Provident Societies Act (Northern Ireland) 1969,
a society registered as a credit union under the Credit Unions (Northern Ireland) Order 1985 (S.I. 1985/1205 (N.I. 12)),
an SCE formed in accordance with Council Regulation (EC) No 1435/2003 on the Statute for a European Co-Operative Society, or
a UK agricultural or fishing co-operative, as defined in section 1058 of CTA 2010.