Part 7Derivative contracts
Chapter 8Further provision about chargeable gains and derivative contracts
Treatment of shares acquired in certain circumstances
669Meaning of G and L in sections 667 and 668
1
This section applies for the purposes of sections 667 and 668.
2
G is the sum of the credits brought into account under section 574 (non-trading credits and debits to be brought into account under Part 5) in respect of the derivative contract in each relevant accounting period so far as referable, on a just and reasonable apportionment, to the shares acquired as a result of the exercise of rights mentioned in section 667(1)(e) or the delivery mentioned in section 668(1)(d).
3
L is the sum of the debits brought into account under section 574 in respect of the derivative contract in each relevant accounting period, so far as so referable.
4
In this section “relevant accounting period” means—
a
the accounting period in which the disposal in question is made, or
b
any previous accounting period.