As respects a company ceasing to be a member of a group of companies on or after the 28th day of March, 1996, section 135 of the Corporation Tax Act, 1976, is hereby amended -
(a) in subsection (1) by the insertion after "or in consequence of another member of the group being wound up or dissolved" of "where the winding up or dissolution of the member or the other member, as the case may be, is for bona fide commercial reasons and is not part of a scheme or arrangement the main purpose or one of the main purposes of which is the avoidance of tax", and
(b) by the substitution for subsection (2) of the following subsection:
"(2) Where two or more associated companies (hereafter in this subsection referred to as ‘the associated companies’) cease to be members of a group at the same time -
(a) subsection (1) shall not have effect as respects an acquisition by one from another of the associated companies, and
(b) where -
(i) a dividend has been paid or a distribution has been made