Corporation Tax Act, 1976

Limitations on deductions in respect of interest.

169.—Where, apart from this section, a company would be entitled to deductions in respect of—

(a) interest under the provisions of paragraph 1 (2) of Part III of Schedule 6 to the Income Tax Act, 1967 (provisions for giving effect to agreements for avoidance of double taxation in the case of the United Kingdom), and

(b) charges on income which are payments of interest to which the provisions of section 10 (6) apply,

the aggregate amount of the deductions which may be made under those provisions shall not exceed the amount specified in section 10 (6).