(1)A VCT approval has effect as from the time specified in the approval.
(2)That time, if it falls before the time when the VCT approval is given, must be no earlier than the time when the application was made.
(3)If the Commissioners for Her Majesty's Revenue and Customs give a VCT approval, they may stipulate that the approval is to have effect as from the time when the application for the approval was made or any subsequent time.
Regulations under section 272 may make provision—
(a)as to the making of applications for VCT approvals and otherwise as to the procedure to be followed in relation to any such applications and the giving of such approvals,
(b)as to the procedure to be followed in connection with the withdrawal of VCT approvals,
(c)as to the obligations of a company which is a VCT if it should appear to the company that the conditions for its VCT approval to continue in force are no longer met,
(d)as to the accounts, records, returns and other information to be kept, and provided or otherwise made available to the Commissioners for Her Majesty's Revenue and Customs, by companies which are or have been VCTs and by persons who hold or have held shares in such companies, and
(e)as to the persons liable to account for any tax becoming due where a VCT approval is withdrawn.
(1)Chapter 4 has effect for interpreting references in this Chapter to a “qualifying holding”.
(2)In this Chapter and the following Chapters of this Part “securities”, in relation to a company, includes any liability of the company in respect of a loan (whether secured or not), except that it does not include—
(a)any liability of the company in respect of a loan which has been made to the company on terms which allow any person to require—
(i)the loan to be repaid, or
(ii)any stock or security relating to the loan to be re-purchased or redeemed,
within the period of 5 years from the making of the loan or, as the case may be, the issue of the stock or security, or
(b)any stock or security relating to a loan which has been made to the company on terms which allow any person to require the loan to be repaid, or the stock or security to be re-purchased or redeemed, within that period.
But see sections 317(4) and 328(2).
(3)In this Chapter “”, in relation to a company, means ordinary shares in the company which carry—
(a)no present or future preferential right to dividends or to the company's assets on its winding up, and
(b)no present or future right to be redeemed.
(4)Any reference in this Chapter to a company's investments is taken to include, so far as it would not otherwise do so—
(a)money in the company's possession, and
(b)any sum owed to the company by another person if the company has account-holder's rights over that sum.
(5)For the purposes of subsection (4)(b) a company has “account-holder's rights” over a sum owed to the company if—
(a)the company has a right (whether or not the exercise of the right is subject to conditions) to require the other person to pay out the sum, or amounts out of the sum, to the company or at the company's direction, and
(b)the sum is owed to the company—
(i)as a result of amounts having been paid to the other person by or for the company, or
(ii)as a result of the other person having identified a sum in respect of which the company may exercise such a right.
(6)Subsection (5) does not have effect to cause a company's investments to be taken to include anything to which the company is not beneficially entitled, but for this purpose a company is taken to be beneficially entitled to—
(a)sums subscribed for shares issued by it, and
(b)anything to which it is entitled that (directly or indirectly) represents such sums.