SCHEDULES

SCHEDULE 14Sale and repurchase of securities: minor and consequential amendments

Income and Corporation Taxes Act 1988 (c. 1)

3

1

Section 231AB (no tax credit for original owner under repurchase agreement in respect of certain manufactured dividends) is amended as follows.

2

In subsection (1), for paragraphs (a) to (c) substitute—

a

the person is the borrower under a debtor repo or debtor quasi-repo;

b

the qualifying distribution is a manufactured dividend paid to the borrower in consequence of that repo; and

c

the arrangement or arrangements in relation to that repo are not such that the actual dividend which the manufactured dividend represents is receivable otherwise than by the borrower under that repo.

3

For subsection (2) substitute—

2

In this section “debtor repo” and “debtor quasi-repo” have the meaning given by Schedule 13 to the Finance Act 2007.