Finance Act 2004

40 (1) Paragraph 2B (open-ended investment companies) is amended as follows. U.K.

(2) In the heading at the end add “ : capital profits, gains or losses ”.

(3) In sub-paragraph (1) omit “, notwithstanding section 84(2)(b) of this Act”.

(4) After that sub-paragraph insert—

“(1A) For the purposes of this paragraph “capital profits, gains or losses”—

(a) in the case of a company that prepares accounts in accordance with UK generally accepted accounting practice, has the meaning given by sub-paragraphs (2) to (4), and

(b) in the case of a company that prepares accounts in accordance with international accounting standards, has the meaning given by order made by the Treasury.”.

(5) In sub-paragraph (2) for the words “For the purposes of this paragraph” substitute “ In the cases mentioned in sub-paragraph (1A)(a) ”.

(6) In sub-paragraph (5) after “the definition of capital profits, gains or losses” insert “ in sub-paragraphs (2) to (4) ”.