Regulation 8 Qualifying interest income
The company’s amount of qualifying interest income for an accounting period is the amount by which the aggregate of the company’s relevant credits exceeds the aggregate of the company’s relevant debits given for that period.
Subject to paragraph (3) and regulation 9, the company’s relevant credits and relevant debits are—
credits and debits given for the accounting period for the purposes of Part 5 of the Corporation Tax Act 2009 (loan relationships)f1; and
credits and debits given for the accounting period for the purposes of Part 7 of that Act (derivative contracts) in relation to—
derivative contracts the underlying subject matter of which consists wholly of assets representing loan relationships or currency or both, and
contracts for differences the underlying subject matter of which consists wholly of any one or more of interest rates, creditworthiness and currency.
The company’s relevant debits for an accounting period do not include debits arising under regulation 10 in respect of interest distributions made in respect of the accounting period.
If, in relation to an accounting period, the aggregate of the company’s relevant debits exceeds the aggregate of the company’s relevant credits the amount of the qualifying interest income for that period shall be treated as nil.
In this regulation expressions used in Parts 5 and 7 of the Corporation Tax Act 2009 have the same meaning as they have in those Parts.
Annotations
Footnotes
- f1