Section 259NEE | Release of connected companies debts during creditor’s insolvency ^F1F2

(1)This section is to be read with section 259NEB (relevant debt relief circumstances: introductory).

(2)The circumstances in this section are—

(a)the relevant release takes place in an accounting period for which an amortised cost basis of accounting is used in respect of the debtor relationship,

(b)condition A, B, C, D or E in section 357 of CTA 2009 is met in relation to the payer,

(c)immediately before the time when any of those conditions was first met the debtor relationship was a connected companies relationship, and

(d)immediately after that time it was not such a relationship.