SECTION PART I.- PRELIMINARY 1. Short title 2 ... - Lexadin

this Act, in computing the adjusted profit of any company of any
accounting period no deduction shall be allowed in respect of sums
incurred by way of interest during that period upon any borrowed
money where such money was borrowed from a second company if
during that period-
(a) either company has an interest in the other company, or
(b) both have interests in another company either directly or
through other companies, or
(c) both are subsidiaries of another company.
(3) For the purposes of subsection (2) of this section-
(a) a company shall be deemed to be a subsidiary of another
company if and so long as an interest in it is held by that other
company either directly or through any other company or
companies;
(b) an interest means a beneficial interest in issued share capital
(by whatever name called); and
(c) the Board shall disregard any such last mentioned interest
which in their opinion is insignificant or remote, or where in
their opinion that interest arises from a normal market
investment and the companies concerned have no other dealings
or connection between each other .
Exclusion of
certain
profits, etc.
Artificial
transactions
etc.
12. Where a company engaged in petroleum operations is engaged in the
transportation of chargeable oil by ocean going oil-tankers operated by
or on behalf of the company from Nigeria to another territory then such
adjustments shall be made in computing an adjusted profit or a loss as
shall have the effect of excluding therefrom any profit or loss
attributable to such transportation.
13. (1) Where the Board is of opinion that any disposition is not in fact
given effect to or that any transaction which reduces or would reduce the
amount of any tax payable is artificial or fictitious, the Board may
disregard any such disposition or direct that such adjustments shall be
made as respects liability to tax as the Board considers appropriate so as
to counteract the reduction of liability to tax effected, or reduction which
would otherwise be effected, by the transaction and the companies
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