The Offshore Funds (Tax) Regulations 2009 No. 3001

PART 2 U.K. THE TREATMENT OF PARTICIPANTS IN NON-REPORTING FUNDS

CHAPTER 3 U.K. EXCEPTIONS ETC. FROM THE CHARGE TO TAX

Trading stock etc. U.K.

26.—(1) No liability to tax arises under regulation 17 if condition A or B is met.

(2) Condition A is that the interest in the fund is held as trading stock.

(3) Condition B is that the disposal of the interest is taken into account in computing the profits of a trade.