Paragraph 48

(1)

“Financial trading company” means a company which—

(a)

is an authorised person for the purposes of FISMA 2000 (see section 31 of that Act), or

(b)

is not within paragraph (a) but carries on a trade consisting wholly or partly in dealing in securities.

(2)

“UK resident financial trading company” means a financial trading company which is resident in the United Kingdom.

(3)

“Relevant foreign financial trading company” means a company which meets conditions A and B.

(4)

Condition A is that the company—

(a)

is not resident in the United Kingdom, and

(b)

carries on a trade in the United Kingdom through a permanent establishment in the United Kingdom.

(5)

Condition B is that, disregarding any activities of the company other than those carried on through that permanent establishment, the company is a financial trading company.

(6)

In this paragraph “securities” includes—

(a)

shares,

(b)

rights of unit holders in unit trust schemes to which TCGA 1992 applies as a result of section 99 of that Act, and

(c)

in the case of a company with no share capital, interests in the company possessed by members of the company.