90(1)This paragraph applies if—U.K.
(a)before 12 March 2008, money was lent to an individual outside the United Kingdom,
(b)the loan was made for the purpose of enabling the individual to acquire an interest in residential property in the United Kingdom (and for no other purpose), and
(c)before 6 April 2008—
(i)the money was received in the United Kingdom,
(ii)the individual used the money to acquire an interest in residential property in the United Kingdom (“the interest”), and
(iii)repayment of the debt for the money (“the debt”), or of payments made under a guarantee of that repayment (“the guarantee”), was secured on the interest.
(2)Relevant foreign income of the individual used outside the United Kingdom before 6 April 2028 to pay interest on the debt is treated as not remitted to the United Kingdom.
(3)If, at any time on or after 12 March 2008—
(a)any term upon which the loan was made, or any term of the guarantee, is varied or waived,
(b)repayment of the debt, or of payments made under the guarantee, ceases to be secured on the interest,
(c)repayment of any other debt is secured on the interest or is guaranteed by the guarantee, or
(d)the interest ceases to be owned by the individual,
sub-paragraph (2) does not apply in relation to relevant foreign income used as mentioned there after that time.
(4)If—
(a)before 12 March 2008, money was lent to the individual outside the United Kingdom (“the subsequent loan”),
(b)the subsequent loan was made for the purpose of enabling the individual to repay—
(i)the loan mentioned in sub-paragraph (1), or
(ii)another loan in relation to which sub-paragraphs (2) and (3) apply (by virtue of this sub-paragraph),
and for no other purpose, and
(c)before 6 April 2008—
(i)the individual used the money to repay the loan referred to in paragraph (b)(i) or (ii), and
(ii)repayment of the subsequent loan, or of payments made under a guarantee of that repayment, was secured on the interest,
sub-paragraphs (2) and (3) apply in relation to the subsequent loan (and for this purpose references there to the debt or the loan are to be read as references to the subsequent loan).
(5)In this paragraph “residential property” has the same meaning as in Part 4 of FA 2003 (see section 116 of that Act).
(6)In this paragraph “guarantee” includes an indemnity, and “guaranteed” is to be read accordingly.