Section 6: UK resident company operating in sterling and preparing accounts in another currency
49.This section sets out the first special rule. It is based on section 92A of FA 1993.
50.This special rule applies to a UK resident company that prepares its accounts in a currency other than sterling and whose functional currency is sterling (see subsection (1)), and which has prepared its accounts in accordance with GAAP.
51.When this special rule applies, profits or losses (adjusted to comply with corporation tax rules) must be calculated in sterling.