{
  "url": "https://openlegislation.uk/finance-act-2002-schedule-26-parts-2-and-9-amendment-no-2-order-2005/article-6",
  "json_url": "https://openlegislation.uk/finance-act-2002-schedule-26-parts-2-and-9-amendment-no-2-order-2005/article-6.json",
  "legislation": "uksi/2005/2082",
  "legislation_title": "The Finance Act 2002, Schedule 26, Parts 2 and 9 (Amendment No. 2) Order 2005",
  "legislation_url": "https://openlegislation.uk/finance-act-2002-schedule-26-parts-2-and-9-amendment-no-2-order-2005",
  "path": "article/6",
  "kind": "article",
  "number": "6",
  "heading": "Amendment of Part 2 of Schedule 26 to the Finance Act 2002",
  "text": "After paragraph 4A insert—\n“4B. (1) This paragraph applies to a company if the conditions in sub-paragraph (2) are satisfied in relation to a relevant contract.\n(2) The conditions are—\n(a) the company is a party to the relevant contract both immediately before and on 28th July 2005,\n(b) the relevant contract—\n(i) was not a derivative contract immediately before that date, but\n(ii) would (apart from this paragraph) be a derivative contract on that date, if an accounting period of the company began on that date, and\n(c) the relevant contract was a chargeable asset immediately before that date.\n(3) The company shall, when it ceases to be a party to the relevant contract, bring into account, for the accounting period in which it ceased to be a party to the contract, the amount of any chargeable gain or allowable loss which would have been treated as accruing to the company on the assumption—\n(a) that it had made a disposal of the relevant contract immediately before 28th July 2005, and\n(b) that the disposal had been for a consideration equal to the fair value of the relevant contract on that date.\n(4) The relevant contract shall be treated for the purposes of this Schedule as a derivative contract entered into by the company on 28th July 2005 for a consideration equal to the fair value of the contract on that date.\n(5) Sub-paragraph (4) of paragraph 4A (meaning of chargeable asset) also applies for the purposes of this paragraph.\n4C. (1) This paragraph applies to a company if the conditions in sub-paragraph (2) are satisfied in relation to a relevant contract to which it becomes a party on or after 28th July 2005.\n(2) The conditions are that (apart from this paragraph) the relevant contract—\n(a) is not a derivative contract on the date on which the company becomes a party to it, but\n(b) would be a derivative contract on that date, if an accounting period of the company began on that date, and\n(c) is a chargeable asset when the company becomes a party to it.\n(3) The relevant contract shall be treated for the purposes of this Schedule as a derivative contract on and after that date.\n(4) Sub-paragraph (4) of paragraph 4A (meaning of chargeable asset) also applies for the purposes of this paragraph.”.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2005/2082/article/6",
    "retrieved_at": "2026-10-29T04:54:45.590664+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}