Introduction Summary
1.This section repeals provisions in Part 5 of Corporation Tax Act (CTA) 2009, which determine the timing of relief for deferred interest and discounts on debt issued to UK companies by a connected company in a non-qualifying territory. Following the repeal, deferred interest and discounts will be subject to the normal loan relationship rules, and will generally be brought into account as they accrue in a company’s accounts. The repeal has effect from 3 December 2014 in respect of loans entered into on or after that date. For loans and securities entered into before that date, the current rules will continue to apply in respect of interest and discounts accrued up to 31 December 2015.