F1PART 2AALONG-TERM ASSET FUNDS

Annotations:
Amendments (Textual)

Tax treatment of long-term asset funds14DA

1

The provisions in paragraph (2) do not apply to a long-term asset fund in relation to an accounting period of the fund unless the genuine diversity of ownership condition is met in relation to that accounting period.

2

The provisions referred to in paragraph (1) are—

a

the provisions of Part 2 of these Regulations,

b

the provisions of Part 4 of these Regulations,

c

the provisions of Part 4A of these Regulations,

d

in section 99(1) of TCGA 1992, the words from “except that nothing in this section” to the end of that subsection,

e

section 100 of TCGA 1992,

f

where the fund is an open-ended investment company, section 614 of CTA 2010, and

g

where the fund is an authorised unit trust, section 618 of CTA 2010.

3

Where the genuine diversity of ownership condition is not met in relation to an accounting period of the fund—

a

Part 3A of CTA 2010 (companies with small profits) does not apply, and

b

the total amount shown in the distribution accounts available for distribution to participants must only be shown as available for distribution in accordance with paragraph (1)(b) of regulation 17 (allocation of income for distribution as dividends).

4

In these Regulations, a “long-term asset fund” means an authorised investment fund whose instrument constituting the fund contains a statement that the fund is a long-term asset fund.