Section EW 22 — Income Tax Act 2007: Default method

EW 22 Default method A person who is a party to a financial arrangement may use a default method if— (a) the person cannot use the yield to maturity method or an alternative; and (b) the person— (i) may not use the straight-line method or a market valuation method; or (ii) may use the straight-line method or a market valuation method but chooses not to do so; and (c) the person may not use a determination method or an alternative, or a financial reporting method; and (d) [Repealed] (e) the method conforms with commercially acceptable practice; and (f) the method allocates a reasonable amount to each income year over the financial arrangement’s term. Defined in this Act: amount , financial arrangement , income , income year , Compare: 2004 No 35 s EW 22 Section EW 22(c): amended (with effect on 1 April 2008), on 6 October 2009, by section 142 of the Taxation (International Taxation, Life Insurance, and Remedial Matters) Act 2009 (2009 No 34). Section EW 22(c): amended, on 1 April 2008, by section 373(1) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109). Section EW 22(d): repealed, on 1 April 2008, by section 373(2) of the Taxation (Business Taxation and Remedial Matters) Act 2007 (2007 No 109).