(a) Notwithstanding section 21, so much of the profits of a company for an accounting period as does not exceed the lower of either -
(i) the specified amount in relation to the accounting period, or
(ii) the income of the company for the accounting period,
shall be charged to corporation tax as if the rate of corporation tax for the financial year were -
(I) as respects accounting periods ending on or after the 1st day of April, 1997, and before the 1st day of January, 1998, 28 per cent, and
(II) as respects accounting periods ending on or after the 1st day of January, 1998, and before the 1st day of January, 2000, 25 per cent.
(b) [deleted]
(2) For the purposes of subsection (1) and subject to subsections (3) and (4), the specified amount in relation to an accounting period of a company shall be an amount determined by the formula -
where -
L is -
(a) in the case of an accounting period ending before the 1st day of January, 1999, £50,000,
(b) in the case of an accounting p