61(1)In section 117 of that Act (meaning of “qualifying corporate bond”), before subsection (1) there shall be inserted the following subsection—U.K.
“(A1)For the purposes of corporation tax “qualifying corporate bond” means (subject to sections 117A and 117B below) any asset representing a loan relationship of a company; and for purposes other than those of corporation tax references to a qualifying corporate bond shall be construed in accordance with the following provisions of this section.”
(2)After subsection (2) of that section there shall be inserted the following subsection—
“(2AA)For the purposes of this section “corporate bond” also includes any asset which is not included in the definition in subsection (1) above and which is a relevant discounted security for the purposes of Schedule 13 to the Finance Act 1996.”
(3)After subsection (6A) of that section there shall be inserted the following subsections—
“(6B)An excluded indexed security issued on or after 6th April 1996 is not a corporate bond for the purposes of this section; and an excluded indexed security issued before that date shall be taken to be such a bond for the purposes of this section only if—
(a)it would be so taken apart from this subsection; and
(b)the question whether it should be so taken arises for the purposes of section 116(10).
(6C)In subsection (6B) above “excluded indexed security” has the same meaning as in Schedule 13 to the Finance Act 1996 (relevant discounted securities).”
(4)After subsection (8) of that section there shall be inserted the following subsection—
“(8A)A corporate bond falling within subsection (2AA) above is a qualifying corporate bond whatever its date of issue.”