Income Tax Act 2007

Deemed manufactured payments: repos U.K.

114 (1) Section 602 does not apply if— U.K.

(a) the securities are UK shares or UK securities, and

(b) the agreement to sell them was entered into by the original owner before 1 May 1995.

(2) Section 602 does not apply if—

(a) the securities are overseas securities, and

(b) the agreement to sell them was entered into by the original owner before 6 November 1996.

115 (1) This paragraph applies if an agreement to sell securities was made before 9 April 2003, for the purpose of determining whether (for the purposes of sections 601 and 602) there is a repo in respect of the securities. U.K.

(2) Section 569 has effect as if for subsection (4) there were substituted—

“(4) Condition C is that the original owner or a person connected with the original owner—

(a) is required to buy back the securities by the agreement or a related agreement, or

(b) exercises an option to buy back the securities which was acquired under the agreement or a related agreement.”

116 (1) This paragraph applies if an agreement to sell securities was made before 9 April 2003, for the purpose of determining whether section 602 applies. U.K.

(2) Section 601 applies with these modifications.

(3) It applies as if in subsection (1)(c) for “the first or second set of relevant conditions” there were substituted “ subsection (2) ”.

(4) It applies as if in subsection (2) for “This is the first set of relevant conditions” there were substituted “ These are the conditions ”.

(5) It applies as if subsection (3) were omitted.

117 (1) This paragraph applies if— U.K.

(a) an agreement to sell securities was made before 27 June 2006,

(b) the person from whom the securities are to be repurchased (“A”) is not the person to whom the original owner agreed to sell the securities, and

(c) A did not become the person from whom the securities are to be repurchased in consequence of an agreement made on or after 27 June 2006.

(2) Section 602 has effect with the omission of subsections (3) and (4).

118 (1) This paragraph applies if an agreement to sell securities was made before 9 April 2003. U.K.

(2) Section 605 has effect with the omission—

(a) in subsection (1), of the words “or B”, and

(b) of subsection (3).