The Corporation Tax (Exclusion from Short-Term Loan Relationships) Regulations 2009
These Regulations should be read with Schedule 15 to the Finance Act 2009 (FA 2009) (in particular paragraph 62 of that Schedule). Paragraph 62 of Schedule 15 to FA 2009 provides for certain finance arrangements to be treated as short-term loan relationships for the purposes of Schedule 15 to FA 2009. A finance arrangement is considered to be a short-term loan relationship if it meets one of the conditions provided by sub-paragraphs (2) to (3) of paragraph 62. The broad effect of these is to include loan relationships that are either required from the outset to last for less than twelve months, or where there is no fixed term, are considered to no longer exist within 12 months. A loan relationship with no fixed term can only be treated as a short-term loan relationship once it has been repaid and its character as short-term determined. These Regulations apply to exclude a loan relationship which is expected to last for more than 12 months.