(1)This section gives the meaning in this Part of “the lower limit” and “the upper limit” in relation to an accounting period of a company.
(2)If the company has no associated company in the accounting period—
(a)the lower limit is £300,000, and
(b)the upper limit is £1,500,000.
(3)If the company has one or more associated companies in the accounting period—
(a)the lower limit is—
and
(b)the upper limit is—
where N is the number of those associated companies.
(4)For an accounting period of less than 12 months the lower limit and the upper limit are proportionately reduced.