SCHEDULES

SCHEDULE 4Amounts not fully recognised for accounting purposes

Loan relationships

3

1

Section 312 (determination of credits and debits where amounts not fully recognised) is amended as follows.

2

For subsection (1A) substitute—

1A

Subsection (1B) applies in a case where—

a

pursuant to the arrangements mentioned in section 311(2)(b), the company becomes, or is treated as becoming, a party to a debtor relationship, and

b

an amount is (in accordance with generally accepted accounting practice) not fully recognised for any period in respect of the debtor relationship.

3

In subsection (1B) omit “by reference to which that condition is met”.

4

In subsection (3) for “But” substitute

But—

a

no debits are, as a result of this section, to be brought into account by the company in respect of the creditor relationship mentioned in section 311(2), and

b