HC Deb 27 March 2000 vol 347 c163

Resolved,

That—

(1) In paragraph 2 of Schedule 9 to the Income and Corporation Taxes Act 1988, after sub-paragraph (2) there shall be inserted— (2A) The Board shall not approve a profit sharing scheme unless they are satisfied—

  1. (a) that the arrangements for the scheme do not make any provision, and are not in any way associated with any provision made, for loans to some or all of the employees of—
    1. (i) the company that established the scheme, or
    2. (ii) in the case of a group scheme, any participating company, and
  2. (b) that the operation of the scheme is not in any way associated with such loans.
(2B) For the purposes of sub-paragraph (2A) above 'arrangements' includes any scheme, agreement or understanding, whether or not legally enforceable.

(2) In paragraph 3(2) of that Schedule, before paragraph (d) there shall be inserted—

  1. (i) cease to be satisfied of the matters mentioned in paragraph 2(2A) above, or
  2. (ii) in the case of a scheme approved before 21st March 2000, are not satisfied of those matters; or".

(3) This Resolution shall be deemed to have come into force on 21st March 2000.

And it is hereby declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.