Part 6Relationships treated as loan relationships etc
Chapter 11Investment life insurance contracts
Old accounting period contracts
569Restriction on debits on old contracts: non-fair value accounting cases
1
This section applies where—
a
the relevant company brings into account credits and debits in respect of the old contract otherwise than on the basis of fair value accounting, and
b
the carrying value of the old contract, as recognised for accounting purposes immediately before the beginning of the first accounting period, exceeds its fair value at that time.
2
No amount is to be brought into account as a debit in relation to the old contract by the relevant company as a result of section 562 except so far as the total of—
a
the amount of the debit, and
b
the amount of any other debits which have previously arisen in relation to the contract as a result of that section,
is greater than the excess mentioned in subsection (1)(b).