635Creditor relationships: embedded derivatives which are optionsU.K.
(1)This section applies if in any accounting period—
(a)a company is a party to a creditor relationship for the purposes of its [F1basic life assurance and general annuity business], and
(b)that creditor relationship is one in relation to which sections 415 and 585 (which both apply to loan relationships with embedded derivatives) would have effect but for the fact that the company accounts for the creditor relationship at fair value through profit and loss.
(2)[F2For the purpose of applying the I - E rules, this Part] and Part 5 (loan relationships) have effect for that accounting period as they would if the creditor relationship were one in relation to which those sections have effect.
Textual Amendments
F1Words in s. 635(1)(a) substituted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 16 para. 169(2)
F2Words in s. 635(2) substituted (17.7.2012) by Finance Act 2012 (c. 14), Sch. 16 para. 169(3)