Regulation 3 Disapplication of Step 3 in section 371FA(1)I1

Paragraph (2) applies to an accounting period of a CFC if the CFC meets the conditions specified in regulation 4, as supplemented by regulation 5.

Step 3 in section 371FA(1) is not to apply in relation to the CFC’s trading finance profits in that accounting period so far as they arise from banking business carried on by the CFC in relation to which the CFC is regulated in the territory in which it is resident.