Mr John Butterfill (Bournemouth West, Conservative)

With this it will be convenient to discuss the following amendments: No. 54, in

schedule 8, page 285, line 41, at end insert

'; or

(b) being deemed to be controlled by another company, by virtue of section 416(2) of the Taxes Act 1988, where control is exercised by the general partner of a CIS limited partnership'.

No. 55, in

schedule 8, page 289, line 4, at end add—

'8 (1) Section 87 of the Finance Act 1996 is amended as follows.

(2) In subsection (5A) (cases where a partnership is a creditor or debtor in a loan relationship) in the closing words, for the words from ''a limited partnership'' to the end of the subsection, substitute ''a CIS limited partnership''.

(3) After subsection (5A), insert:—

''(5AA) In this section—

''CIS limited partnership'' means a limited partnership

(a) which is a collective investment scheme, or

(b) which would be a collective investment scheme if it were not a body corporate.

''collective investment scheme'' means ''a collective investment scheme within the meaning of section 235 of the Financial Services and Markets Act 2000''.

(4) These amendments have effect for accounting periods ending on or after 13th December 2003.

9 (1) Section 87A of that Act is amended as follows:

(2) In subsection (3) (partnerships involving companies) in the closing words, for the words ''a limited partnership'' to the end of the subsection, substitute ''a CIS limited partnership''.

(3) After subsection (3), insert:—

''(4) In this section—

''CIS limited partnership'' means a limited partnership

(a) which is a collective investment scheme, or

(b) which would be a collective investment scheme if it were not a body corporate.

''collective investment scheme'' means a collective investment scheme within the meaning of section 235 of the Financial Services and Markets Act 2000''.

(4) These amendments have effect for accounting periods ending on or after 13th December 2003.

Interpretation of references to major interests

10 (1) Paragraph 20 of Schedule 9 to that Act is amended as follows:

(2) In subparagraph (5) (partnerships involving companies) in the closing words, for the words from ''a limited partnership'' to the end of the subsection, substitute ''a CIS limited partnership''.

(3) In subparagraph (6) in the closing words, for the words from ''a limited partnership'' to the end of the subsection, substitute ''a CIS limited partnership''.

(4) After subparagraph (6), insert—

''(6A) In this paragraph—

''CIS limited partnership'' means a limited partnership

(a) which is a collective investment scheme, or

(b) which would be a collective investment scheme if it were not a body corporate.

''collective investment scheme'' means a collective investment scheme within the meaning of section 235 of the Financial Services and Markets Act 2000''.

(5) These amendments have effect for accounting periods ending on or after 13th December 2003.'.

See this speech in context