Paragraph 17 I1

United Kingdom

(1)

This paragraph applies if—

(a)

securities are issued to a company in pursuance of a direction of the Secretary of State under section 49 or 58 above, and

(b)

by virtue of any such security the company has a loan relationship for the purposes of the Corporation Tax Acts.

(2)

For the purposes of F1Part 5 of the Corporation Tax Act 2009 (loan relationships) the company is to be taken to have acquired its rights under the security wholly in consideration of a loan made by it to the issuing company of an amount equal to the principal sum payable under the security.

(3)

Expressions used in this paragraph and in F2Part 5 of the Corporation Tax Act 2009 have the same meanings in this paragraph as in that Part.

Annotations

Textual amendments

F1: Words in Sch. 7 para. 17(2) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 472(3)(a) (with Sch. 2 Pts. 1, 2)
F2: Words in Sch. 7 para. 17(3) substituted (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), s. 1329(1), Sch. 1 para. 472(3)(b) (with Sch. 2 Pts. 1, 2)

Commencement

I1: Sch. 7 paras. 1-20 wholly in force at 1.2.2001, see s. 275(1) and S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to the transitional provision and saving in Sch. 2 Pt. II)