The Finance Act 2002, Schedule 26, (Parts 2 and 9) (Amendment) Order 2006 No. 3269

Amendment of Part 9 of Schedule 26

Insertion of paragraph 45KA of Schedule 26

24.  After paragraph 45K insert—

“Securities with embedded options: existing liabilities

45KA.— (1) Where in any accounting period paragraph 45K would apply to a derivative contract but for sub-paragraph (2)(e) of that paragraph, paragraph 14(3) (non-trading credits and debits) shall not apply to the relevant credits and debits.

(2) For the purposes of this paragraph the relevant credits and debits are the credits and debits given in relation to the contract for the accounting period by paragraph 15.”.