(1) In this section, 'specified amount' refers to an amount of interest or distribution arising or accruing to a stock buyer in respect of qualifying securities, or equivalent stock, held by the stock buyer pursuant to a financial transaction.
(2) Subject to subsection (3), in charging a specified amount to tax -
(a) a deduction shall be available for any corresponding manufactured payment paid, and
(b) such deduction shall not exceed the specified amount received following the application of Schedule 24, but prior to the application of Schedule 2.
(3) A manufactured payment shall not be deductible -
(a) where the stock buyer is exempt from tax in respect of the corresponding specified amount,
(b) where no amount of tax payable, within the meaning of section 959A, would arise in respect of the corresponding specified amount following the application of Schedule 24, or
(c) against any amounts other than the corresponding specified amount.
(4) Where the specified amount is in excess of t
…