Section 846 — Income Tax Act 2007: Interpretation of section 845

Interpretation of section 845 846 1 This section applies for the purposes of section 845.

2 Securities are of the same kind if they—

a are treated as being of the same kind by the practice of a recognised stock exchange, or b would be so treated if dealt in on a recognised stock exchange. 3 “The relevant period” is the period—

a beginning with the day mentioned in subsection (4),

and b ending with the day (“the new issue day”) on which the new securities are issued.

4 The day referred to in subsection (3)(a) is the day after—

a the last (or only) interest payment day before the new issue day, or b if there is no interest payment day before the new issue day, the day on which the old securities are issued.

5 In subsection (4) “ interest payment day ” means a day on which interest is payable under the old securities. 6 “ Relief ” means relief by way of deduction in calculating amounts of income charged to income tax or in calculating net income.