(1)The Board may by regulations provide that section 118G(1) shall not apply as regards relevant payments or relevant receipts—
(a)unless such conditions as may be prescribed are fulfilled;
(b)where the Board have reason to believe that section 118G(3) does not apply to, or to the whole of, any relevant payments; or
(c)where the Board have reason to believe that section 118G(4) does not apply to, or to the whole of, any relevant payments or relevant receipts.
(2)In subsection (3) below, references to the relevant exclusion are to exclusion from being a chargeable payment or chargeable receipt pursuant to section 118G(1) or regulations made under section 118G(7) or (8), or to the deduction of tax at a reduced rate pursuant to regulations under section 118G(8), as the case may be; and references to the agent concerned are to the paying agent or collecting agent or, as the case may be, to the nominee approved for the purpose of section 118G(7) or (8).
(3)Regulations under this section or section 118G(7) or (8) may—
(a)disapply the relevant exclusion in respect of any relevant payments or relevant receipts derived from any securities or relevant holdings unless the appropriate person has made a declaration in writing to the agent concerned, in such form as may be prescribed or authorised by the Board, confirming that the requirements for the exclusion are satisfied;
(b)require the person who makes such a declaration to undertake in the declaration to notify the agent concerned if the circumstances set out in the declaration change;
(c)require the agent concerned to consider the accuracy of any declaration made pursuant to a requirement imposed by virtue of paragraph (a) above;
(d)impose obligations—
(i)on persons having any rights in relation to relevant payments or relevant receipts in respect of which the relevant exclusion applies or is claimed to apply; and
(ii)on persons who are the agents concerned in relation to such relevant payments or relevant receipts as are mentioned in sub-paragraph (i) above
as to the provision of information, and the production of documents, to the Board or, on request, to an officer of the Board;
(e)provide for notices to be issued by the Board to persons who fail to comply with requirements for the provision of information or documents mentioned in paragraph (d) above, disapplying the relevant exclusion in relation to relevant payments or relevant receipts in relation to which they have any rights or in relation to which they are the agents concerned;
(f)impose requirements as to—
(i)the form and contents of any declaration to be made in accordance with the regulations under this section;
(ii)the appropriate person to make such a declaration;
(iii)the form and manner in which, and the time at which, any declaration is to be made or provided; and
(iv)the keeping and production to, or to an officer of, the Board of any document in which any such declaration is contained;
(g)provide for notices to be issued by the Board to such persons as may be described in the regulations where the Board are satisfied that the relevant exclusion applies, or where the Board are satisfied or have reason to believe that the relevant exclusion does not apply.
(4)Regulations under section 118G(7) or (8) may—
(a)prescribe conditions for the inclusion of securities or foreign holdings in arrangements established under that subsection;
(b)set out procedures for the approval of nominees for the purpose of that subsection and for the withdrawal of such approval.