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Section 744.

(b) those interests (together with other interests which the primary fund may have) are such that, by virtue of paragraph (a) of subsection (3) of section 744 or, if the other fund concerned is a company, paragraph (b) or (c) of that subsection, the primary fund could not apart from this paragraph be certified as a distributing fund in respect of the account period, and

then, in determining whether in section 744(3) (other than paragraph (d)) anything prevents the primary fund being certified as mentioned in clause (b), the interests of the primary fund in that other fund shall be disregarded except for the purposes of determining the total value of the assets of the primary fund.

(a) section 744(3) (other than paragraph (d)) shall apply in relation to the primary fund with the modification in paragraph 7 (in addition to that provided for by subparagraph (2)), and

(b) that interest is to be taken into account in determining whether in section 744(3) (other than paragraph (d)) anything prevents the primary fund being certified as a distributing fund in respect of that account period, and

then, for the purposes of the application in relation to the primary fund of section 744(3) (other than paragraph (d)), at any time when the assets of the qualifying fund include the interest referred to in clause (c), the primary fund’s share of that interest shall be treated as an additional asset of the primary fund.

(2) In any case where the assets of an offshore fund for the time being include an interest in a trading company, section 744(3) shall apply subject to the modifications in subparagraphs (3) and (4).

(3) In the application of section 744(3)(b) to so much of the assets of an offshore fund as for the time being consists of interests in a single trading company, “20 per cent” shall be substituted for “10 per cent”.

(1) In relation to an offshore fund which has a wholly-owned subsidiary which is a company, section 744(3) or Part 1 of this Schedule shall apply subject to the modifications in subparagraph (4).

(4) The modifications referred to in subparagraph (1) are that for the purposes of section 744(3) and Part 1 of this Schedule—

(1) Section 744(3)(c) shall not apply to so much of the assets of an offshore fund as consists of issued share capital of a company which is either—

(b) that holding is such that by virtue of section 744(3)(c) the fund could not (apart from this paragraph) be certified as a distributing fund in respect of that account period,

then, if the condition in subparagraph (3) is fulfilled, that holding shall be disregarded for the purposes of section 744(3)(c).

14. Where in the case of any account period of an offshore fund it appears to the Revenue Commissioners that there has been a failure to comply with any of the conditions in paragraphs (a), (b) and (c) of section 744(3) (as modified, where appropriate, by the preceding provisions of this Part of this Schedule) but they are satisfied that the failure—

(d) the Revenue Commissioners are satisfied that nothing in subsection (2) or (3) of section 744 prevents the fund being so certified.

“account period” shall be construed in accordance with subsections (8) to (10) of section 744;

“distributing fund” shall be construed in accordance with subsections (2) and (3) of section 744;

“non-qualifying fund” has the meaning assigned to it by section 744(1);