Modifications etc. (not altering text)
C1Pt. 7 modified (with effect in accordance with s. 1184(1) of the amending Act) by Corporation Tax Act 2010 (c. 4), ss. 601, 1184(1) (with Sch. 2)
C2Pt. 7 modified (with effect in accordance with s. 148 of the amending Act) by Finance Act 2012 (c. 14), s. 88(1)(2)(7) (with s. 147, Sch. 17)
C3Pt. 7 modified by 2007 c. 3, s. 809FZZ(8) (as inserted (with effect in accordance with s. 37(4) of the amending Act) by Finance Act 2016 (c. 24), s. 37(2))
(1)Profits or losses of a capital nature arising to an investment trust from a derivative contract may not be brought into account as credits or debits in accordance with this Part.
(2)For the purposes of this section, “profits or losses of a capital nature” means profits or losses which—
(a)are accounted for through the capital column of the income statement in accordance with the Statement of Recommended Practice, or
(b)would have been so accounted for if that Statement had been applied correctly.
(3)“The Statement of Recommended Practice”, in relation to an accounting period for which it is required or permitted to be used, means—
(a)the Statement of Recommended Practice relating to Investment Trust Companies, issued by the Association of Investment Trust Companies in January 2003, as from time to time modified, amended or revised, or
(b)any subsequent Statement of Recommended Practice relating to investment trusts, as from time to time modified, amended or revised.
(4)The Treasury may by order amend the definition of “profits or losses of a capital nature” in subsection (2), so far as it applies in relation to an investment trust which prepares accounts in accordance with international accounting standards.
(1)Profits or losses of a capital nature arising to a venture capital trust from a derivative contract may not be brought into account as credits or debits in accordance with this Part.
(2)For the purposes of this section, “profits or losses of a capital nature” means profits or losses which—
(a)are accounted for through the capital column of the income statement in accordance with the Statement of Recommended Practice, or
(b)would have been so accounted for if the venture capital trust had been an investment trust and that Statement had been applied correctly.
(3)In this section “the Statement of Recommended Practice” has the meaning given by section 637(3) (investment trusts: profits or losses of a capital nature).
(4)The Treasury may by order amend the definition of “profits or losses of a capital nature” in subsection (2), so far as it applies in relation to a venture capital trust which prepares accounts in accordance with international accounting standards.