Section 256 — Corporation Tax Act 2010: Meaning of “loan” and “interest”

Meaning of “loan” and “interest” 256 1 In this Part—

a references to a “loan” include references to alternative finance arrangements, and b references to “interest” include references to alternative finance return.

2 In subsection (1)— “ alternative finance arrangements ” means arrangements to which any of the following applies— section 503 of CTA 2009 (purchase and resale arrangements), section 505 of that Act (deposit arrangements), section 506 of that Act (profit share agency arrangements), and “ alternative finance return ” has the meaning given by section 511 and 513(1) and (2) of that Act.

3 Subsection (1) needs to be read with—

a section 257, in the case of arrangements to which section 503 of CTA 2009 applies, b section 258, in the case of arrangements to which section 505 of that Act applies, and c section 259, in the case of arrangements to which section 506 of that Act applies.