SCHEDULES

SCHEDULE 17 U.K. Real Estate Investment Trusts

9 U.K. In section 120 (calculation of profits)—

(a) in paragraph (a) of subsection (4), for “an asset,” substitute “ an asset by the exploitation of which tax-exempt business is conducted, ”

(b) after that paragraph insert—

“(aa) a derivative contract is hedging in relation to a company if or in so far as it is acquired as a hedge of risk in relation to a liability incurred in connection with tax-exempt business,” and

(c) after that subsection insert—

“(4A) In subsection (4)(a) the reference to an asset includes a reference to—

(a) the value of an asset, and

(b) profits attributable to it.”