SCHEDULE 15Loan relationships: savings and transitional provisions
Part ICorporation tax
Application and interpretation of Part I
1
(1)
This Part of this Schedule has effect for the purposes of corporation tax.
(2)
In this Part of this Schedule—
“the 1992 Act” means the M1Taxation of Chargeable Gains Act 1992;
“continuing loan relationship”, in relation to any company, means any loan relationship to which the company was a party both immediately before and on 1st April 1996;
“first relevant accounting period”, in relation to a company, means the first accounting period of the company to end after 31st March 1996; and
“transitional accounting period”, in relation to a company, means any accounting period of the company beginning before and ending on or after 1st April 1996.
(3)
Any question as to whether, or to what extent, credits or debits falling to be brought into account for the purposes of this Chapter by virtue of this Part of this Schedule are referable to any category of an insurance company’s long term business shall be determined according to any apportionment in relation to the loan relationship in question which is made for the company’s first relevant accounting period.
(4)
In this Part of this Schedule references to this Chapter include references to any repeals having effect for the purposes of this Chapter.