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(4) Where this section applies, it shall be assumed that any sterling amount mentioned in the Corporation Tax Acts is its equivalent expressed in the accounts currency of the company. 92D Translating amounts into equivalent in different currency
(1) Where, for the purposes of computing the profits or losses of a company for an accounting period, an amount is required by section 92B or 92C to be translated—
(a) into its sterling equivalent, or
(b) into its equivalent expressed in the functional currency or the accounts currency of the company, the translation must be made by reference to the appropriate exchange rate.
(2) The "appropriate exchange rate" is—
(a) the average exchange rate for the current accounting period, or
(b) an appropriate spot rate of exchange for the transaction in question. 92E Meaning of "accounts", "return of accounts" and "functional currency"
(1) References in sections 92A to 92C to the "accounts" of a company resident in the United Kingdom are to—
(a) the annual accounts of the company required by Part 7 of the Companies Act 1985 or Part 8 of the Companies (Northern Ireland) Order 1986; or
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(b) if the company is not required to prepare such accounts, the accounts which it is required to keep under the law of the country or territory under whose laws the company is incorporated; or
(c) if the company is not so required to keep accounts, such of its accounts as most closely correspond to accounts which it would have been required to prepare if the provisions of Part 7 of the Companies Act 1985 applied to it.
(2) The reference in section 92C to the "return of accounts" of a company not resident in the United Kingdom is to a return of such accounts of its permanent establishment in the United Kingdom as may be required by the Inland Revenue under paragraph 3 of Schedule 18 to the Finance Act 1998 (company tax returns).
(3) References in sections 92A, 92B and 92D to a company's "functional currency" are to the currency of the primary economic environment in which the company operates.". Consequential amendments 78 (1) Section 730BB of the Taxes Act 1988 (exchange gains and losses on sale and repurchase of securities) is amended as follows.
(2) In subsection (2)(c) for the words from "section 93 of the Finance Act 1993" to "sterling)" substitute "section 92B or 92C of the Finance Act 1993 (company preparing accounts or operating in currency other than sterling)".
(3) In subsection (3)—
(a) in paragraph (a) for "section 93 of the Finance Act 1993" substitute "section 92B or 92C of the Finance Act 1993 (company preparing accounts or operating in currency other than sterling)";
(b) in paragraph (b) for the words from "relevant foreign currency" to "the company" substitute "relevant currency".
(c) in paragraph (c)(i) and (ii) for "relevant foreign currency" substitute "relevant currency".
(4) After subsection (3) insert—
"(3A) In subsection (3), references to the relevant currency are—
(a) in cases in which section 92B of the Finance Act 1993 applies, to the functional currency (within the meaning of that section), and
(b) in cases in which section 92C of the Finance Act 1993 applies, to the accounts currency (within the meaning of that section)."
(5) Omit subsection (12).'—[Dawn Primarolo.]
Schedule 11
Amendments made: No. 85, in page 333, line 42, leave out
'periods ending at a time within that period when'
and insert
'the period or periods within the qualifying period during which'.
No. 86, in page 334, line 20, leave out 'ending'.
No. 87, in page 334, line 37, leave out
'ending after the end of'
and insert 'after'.
No. 88, in page 336, line 23, leave out
'ending after the end of'
and insert 'after'.
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No. 89, in page 339, line 2, leave out
'ending after the end of'
and insert 'after'.—[Dawn Primarolo.]
Clause 67
Amendment made: No. 90, in page 70, line 7, leave out 'High Court' and insert
'appropriate court.
(6) In this section "the appropriate court" means—
(a) in relation to England and Wales, the High Court;
(b) in relation to Scotland, the Court of Session, as the Court of Exchequer in Scotland;
(c) in relation to Northern Ireland, the Court of Appeal in Northern Ireland.'.—[Dawn Primarolo.]
Schedule 15
Mr. Flight: I beg to move amendment No. 1, in page 356, line 20, at beginning insert
'Subject to sub-paragraph (6) below,'.
Madam Deputy Speaker: With this it will be convenient to discuss the following:
Amendment No. 2, in page 356, line 26, leave out '17th March 1986' and insert '19th June 2003'.
Amendment No. 45, in page 356, line 26, leave out '17th March 1986' and insert '9th December 2003'.
Amendment No. 3, in page 356, line 35, leave out '17th March 1986' and insert '19th June 2003'.
Amendment No. 46, in page 356, line 35, leave out '17th March 1986' and insert '9th December 2003'.
Amendment No. 4, in page 356, line 48, at end insert—
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