492Disregard of investments made and liabilities incurred with avoidance intention etcU.K.
(1)In determining the credits and debits in respect of a company's relevant holdings under section 490(3), amounts relating to any investment or liability of the open-ended investment company, unit trust scheme or offshore fund must be left out of account if—
(a)the investment was made, or the liability was incurred, with the relevant avoidance intention, or
(b)any transaction or series of transactions was entered into in relation to the investment or liability with that intention.
(2)The relevant avoidance intention is the intention of—
(a)eliminating or reducing the credits to be brought into account for the purposes of Part 5 or this Part as respects the company's relevant holdings, or
(b)creating or increasing the debits to be so brought into account.