SCHEDULES

SCHEDULE 11Corporate interest restriction

10Interest allowance (alternative calculation) election: changes in accounting policy

1

Section 426 (changes in accounting policy in cases where interest allowance (alternative calculation) election has effect) is amended as follows.

2

In subsection (3)—

a

after “means” insert “the following provisions as modified by subsection (4)”, and

b

after paragraph (a) insert—

ab

sections 261 and 262 of that Act (property profits);

3

For subsection (4) substitute—

4

The provisions mentioned in subsection (3)—

a

are to have effect for the purposes of this section as if their application were limited to cases where there is a change of accounting policy and as if any election had been made under the provisions, and

b

are to have effect subject to any modifications necessary for the purposes of this section.