The Income Tax (Building Societies) (Audit Powers) Regulations 1992

Consequences of termination or alteration of approval of building society

11.—(1) Subject to paragraph (2), where approval is terminated under regulation 8 or altered under regulation 9—

(a) investments of the kind referred to in regulation 5 which are held with the building society whose approval has been terminated or, as the case may be, with a branch or other part of the building society’s business from which approval has been withdrawn either—

(i) shall cease to be excluded investments with effect from the appropriate date, or

(ii) where regulation 8(6) or regulation 9(4) applies, shall be treated as if they had never been excluded investments;

(b) regulations 3 and 4 shall apply accordingly to such investments;

(c) the audit agreement concluded between the Board and the building society pursuant to regulation 6(3) shall cease to have effect in relation to such investments, and accordingly, so far as concerns such investments, no audit shall be carried out by the auditor or audit report furnished to the Board following the termination or alteration of approval.

(2) Where following the termination or alteration of approval of a building society the conditions of regulation 6(2) and (3) are again satisfied with respect to the whole of its business, the Board shall approve the building society under regulation 6 for the purposes of these Regulations.

(3) In this regulation “the appropriate date” means—

(a) as regards a termination of approval under regulation 8, the date determined by regulation 8(5), and

(b) as regards an alteration of approval under regulation 9, the date determined by regulation 9(3).