Section 630 — Income Tax Act 2007: Making accrued income profits: settlement day outside interest period

Making accrued income profits: settlement day outside interest period 630 1 This section applies if—

a there is a transfer of securities with unrealised interest or a transfer of variable rate securities, and b the settlement day for the transfer falls after the end of the only or last interest period of the securities.

2 The transferor is treated as making accrued income profits.

3 See also— section 638(3) (no account to be taken of transfer if transferor is excluded transferor), and section 681 (exemption for unrealised interest received by transferee after transfer).