SCHEDULES

SCHEDULE 10Amendment of enactments that operate by reference to accounting practice

Part 1Loan relationships

40Collective investment schemes etc.

1

Paragraph 2B (open-ended investment companies) is amended as follows.

2

In the heading at the end add “: capital profits, gains or losses”.

3

In sub-paragraph (1) omit “, notwithstanding section 84(2)(b) of this Act”.

4

After that sub-paragraph insert—

1A

For the purposes of this paragraph “capital profits, gains or losses”—

a

in the case of a company that prepares accounts in accordance with UK generally accepted accounting practice, has the meaning given by sub-paragraphs (2) to (4), and

b

in the case of a company that prepares accounts in accordance with international accounting standards, has the meaning given by order made by the Treasury.

5

In sub-paragraph (2) for the words “For the purposes of this paragraph” substitute “In the cases mentioned in sub-paragraph (1A)(a)”.

6

In sub-paragraph (5) after “the definition of capital profits, gains or losses” insert “in sub-paragraphs (2) to (4)”.