SCHEDULES

SCHEDULE 10Amendment of enactments that operate by reference to accounting practice

Part 1Loan relationships

Consequential amendments

43

In section 440 of the Taxes Act 1988 (insurance companies: transfers of assets etc.), in subsection (2A) (treatment of asset representing loan relationship), for the words from “any authorised accounting method” to “shall be applied” substitute “ Chapter 2 of Part 4 of the Finance Act 1996 applies ”.

44

In section 730A of that Act (treatment of price differential on sale and repurchase of securities), in subsection (6) (treatment of loan relationships)—

a

omit paragraph (b) (but not the word “and” following it), and

b

in the closing words for “paragraphs (b) and (c)” substitute “ paragraph (c) ”.

45

In Schedule 28A of that Act (change in ownership of investment company), in paragraphs 7(1)(d)(ii) and (e)(ii), 11(1)(a) and (3)(c) and 16(1)(d)(ii) and (e)(ii) for “authorised accruals” substitute “ amortised cost ”.

46

In paragraph 7(3) of Schedule 26 to the Transport Act 2000 (c. 38) (transfers under that Act), for “an authorised accounting method” substitute “ a basis of accounting ”.