7(1)In section 89(7) of the Finance Act 1989 (which defines Case I profits for the purposes of determining the policy holders' share of relevant profits and the shareholders' share of income), in the definition of “Case I profits”, insert at the end “ and adjusted in respect of losses in accordance with section 76(2C) and (2D) of the Taxes Act 1988; ”.U.K.
(2)Sub-paragraph (1) has effect for accounting periods beginning on or after 1st January 2003.
(3)But section 76(2C) of the Taxes Act 1988, as it applies by virtue of sub-paragraph (1), has effect as if the reference in it to the amount which would fall, in the case of a company, to be set off under section 393 of that Act were to only so much of that amount as is attributable to losses incurred in the accounting period of the company in which 31st December 2002 is included or any later accounting period.