SEVENTH SCHEDULEProfits Tax: Consequential and Transitional Provisions
Accounting Periods Divided by this Act
5
The provisions set out in the third column of the Schedule to the Profits Tax Act, 1949 (which modified the application of certain enactments in relation to accounting periods divided by subsection (1) of section one of that Act), shall have effect so as to modify the application of those enactments also in relation to accounting periods divided by subsection (3) of section thirty-three of this Act:
Provided that, as respects double taxation relief—
(a)
the reference in the said Schedule to paragraph 3 of Part I of the Ninth Schedule to the Finance Act, 1947, shall be deemed to be a reference to paragraph 3 of the Sixteenth Schedule to, and paragraph 1 of Part II of the Seventeenth Schedule to, the Income Tax Act, 1952, or, where that Act does not apply, to paragraph 3 of the said Part I and paragraph 1 of Part II of the Sixth Schedule to the Finance Act, 1950; and
(b)
any foreign tax which, but for this paragraph of this proviso, would, under paragraph 7 of the said Sixteenth Schedule as modified by paragraph 2 of Part II of the said Seventeenth Schedule, or, in a case in which the Income Tax Act, 1952, does not apply, under paragraph 7 of the said Part I as modified by paragraph 2 of Part II of the said Sixth Schedule, have gone to reduce the profits of the trade or business for the first of the two chargeable accounting periods shall instead be apportioned between the two chargeable accounting periods by reference to the number of months or fractions of months in each of them respectively and the profits of each reduced accordingly.