SCHEDULES
SCHEDULE 13Employer asset-backed pension contributions etc
PART 2Transitional provision relating to Part 1
9Certain tax consequences not to have effect
1
This paragraph applies if—
a
b
the asset-backed arrangement would have the relevant effect (ignoring this paragraph).
2
The asset-backed arrangement is not to have the relevant effect.
3
The relevant effect is that—
a
an amount of income on which the borrower or a person connected with the borrower would otherwise have been charged to tax is not so charged,
b
an amount which would otherwise have been brought into account in calculating for tax purposes any income of the borrower or of a person connected with the borrower is not so brought into account, or
c
the borrower or a person connected with the borrower becomes entitled to deduct an amount—
i
in calculating income for tax purposes, or
ii
from total income or total profits (as the case may be).
4
But if the borrower is a partnership the relevant effect is that—
a
an amount of income on which a member of the partnership would otherwise have been charged to tax is not so charged,
b
an amount which would otherwise have been brought into account in calculating for tax purposes any income of a member of the partnership is not so brought into account, or
c
a member of the partnership becomes entitled to deduct an amount—
i
in calculating income for tax purposes, or
ii
from total income or total profits (as the case may be).