The Principal Act is amended by inserting the following after Part 8 -

"Part 8A Specified Financial Transactions

Chapter 1 Interpretation

Interpretation.

267N.

(1) For the purpose of this Part -

'asset' has the same meaning as in section 532;

'charges on income' has the same meaning as in section 243;

'credit return' means -

(a) in the case of a credit transaction within the meaning of paragraph (a) or (b) of the definition of 'credit transaction', the excess of the consideration accruing to the finance undertaking from the borrower in respect of the asset over the consideration paid or payable by the finance undertaking for that asset, and

(b) in the case of a credit transaction within the meaning of paragraph (c) of the definition of 'credit transaction', the excess of the consideration (including any consideration paid or payable for the use of the asset during the period of the arrangement) accruing to the finance undertaking from the borrower in respect of the interest of the finance undertaking in the asset over the consideration paid or payable by the finance undertaking for that asset;

'credit transaction' means -

(a) an arrangement whereby a finance undertaking acquires an asset for the purpose of disposing of the full interest in that asset to a borrower in circumstances where -