21.—(1) Subject to paragraph (2), where a dividend manufacturer pays a manufactured dividend, he shall furnish the recipient with a statement in writing showing the gross amount of the payment, the amount of tax deducted, and the actual amount paid, and section 352 of the Taxes Act(1) shall not apply.
(2) Where a qualifying person pays an approved manufactured payment to another qualifying person section 352 of the Taxes Act shall apply.
Section 352 was amended by paragraph 11 of Schedule 5 to the Finance Act 1990 (c. 29).