Section 777 — Corporation Tax Act 2010: Loan or credit transaction defined

Loan or credit transaction defined 777 1 This section defines a loan or credit transaction for the purposes of sections 778 and 779.

2 A transaction is a loan or credit transaction if it is—

a effected with reference to the lending of money or the varying of the terms on which money is lent, or b effected with a view to enabling or facilitating an arrangement concerning the lending of money or the varying of the terms on which money is lent.

3 A transaction is a loan or credit transaction if it is—

a effected with reference to the giving of credit or the varying of the terms on which credit is given, or b effected with a view to enabling or facilitating an arrangement concerning the giving of credit or the varying of the terms on which credit is given.

4 Subsection (2) has effect whether the transaction is effected—

a between the lender and the borrower, b between either of them and a person connected with the other, or c between a person connected with one and a person connected with the other.

5 Subsection (3) has effect whether the transaction is effected—

a between the creditor and the debtor, b between either of them and a person connected with the other, or c between a person connected with one and a person connected with the other.