# Finance Act 1997, Paragraph 6


In paragraph 11 (adjustments in the case of chargeable assets), for sub-paragraphs (2) to (4) there shall be substituted the following sub-paragraphs—
“(2) Those amounts are—
(a) the notional closing value of the relationship as at 31st March 1996; and
(b) the amount which would be taken on a computation made—
(i) in accordance with an authorised accruals basis of accounting, and
(ii) on the assumption that such a basis of accounting had always been used as respects that relationship,
to represent the accrued value of the loan relationship in question on 1st April 1996.
(3) Where there is a difference between the amounts mentioned in sub-paragraph (2) above, that difference shall be brought into account—
(a) where the amount mentioned in paragraph (a) of that sub-paragraph is the smaller, as a credit given for the purposes of this Chapter for the accounting period in which the company ceases to be a party to the relationship; and
(b) in any other case, as a debit so given.”

---
Source: https://www.legislation.gov.uk/ukpga/1997/16/schedule/13/paragraph/6 (the official version)
Page: https://openlegislation.uk/finance-act-1997/schedule-13/paragraph-6
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.